Government defends new Ministerial regulation on rooftop solar power plant

  • Published on 05/03/2024 at 09:03 GMT+7

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Minister of Energy and Mineral Resource Arifin Tasrif issued Ministerial Regulation Number 2/2024 on Rooftop Solar Power Plant, a revision to the ministry regulation number 26/2021.

Director of New and Renewable Energy and Energy Conservation at the Energy and Mineral Resources Ministry, Andriah Feby Misna, said there are several revision in the new regulation.

"The first revision is about the capacity of rooftop solar power plant," Andriah on Tuesday, March 5, 2024.

She cited that in the Minister of Energy and Mineral Resources Regulation Number 26/2021, the capacity of the rooftop solar panel system is limited to a maximum of 100 percent from the connected power of costumer. While, such limitation no longer exist in the new regulation as part of the efforts to make the rooftop solar panel utilized by all users.

However, the ministry regulates on development quota of rooftop solar panel power that can be fed into the PLN grid system

"So there is no capacity limit, but there is a quota limit set by the Ministry of Energy and Mineral Resources," Andriah said, while adding that the quota of power produced by rooftop solar panel is proposed by electricity provider − both PLN and non-PLN provider.

In determining the quota, there are factors that are taken into consideration, including short, medium and long term target set by the government in the upcoming long-term electricity procurement plan (RUPTL).

"In the previous regulation, the rooftop solar panel was not included in the long term-electricity procurement plan (RUPTL), while in the new regulation it is part of the procurement plan, so we hope this can provide certainty to customers," Andriah said.

The last thing to be considered in proposing a quota is system reability. In determining a quota, business need to see the reability of the system, while at the same time, the government can improve the infrastructure in order to increase the penetration of rooftop solar panel can be greater.

On the quota of the capacity, the new regulation regulates that the electricity providers are required to provide a rooftop solar PV development quota for each power system for a period of 5 years with detailed quota every year. The proposal for the quota should be submitted no later than 3 months after the ministerial regulation was promulgated.

"The ministerial regulation was enacted on January 31, 2024, so the quota proposal should be submitted no later than 2 months by PLN or other power provider," Andriah added.

On the export and import of power from rooftop solar panel, it is stipulated in the previous regulation that provisions on electricity import and export is 100 percent and the excess will be deducted from the electricity bill of the following month. In the new regulation, the value of electricity excess from the customer's Rooftop Solar PV system to the grid of provider holders is not taken into account in determining the amount of the customer's electricity bill. Technically, the electrical energy still flows to the grid and is recorded, but commercially it is not taken into account.

On the mechanism for application, prospective rooftop solar power plant customers can apply without a certain period of time specified. The electric provider is obliged to to give approval or rejection no later than 5 working days or 12 working days if there is a change of power purchase agreement since application received.

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