Unearthing the Dynamics of Indonesia’s Geothermal Energy Development

Satya Widya Yudha, Benny Tjahjono, Phil Longhurst

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Abstract

Indonesia has one of the world’s biggest geothermal energy reserves, accounting for 28.61 Gigawatts of electric energy (GWe). However, as of 2022, the installed geothermal capacity in Indonesia was only around 2.175 GWe, just 7.6% of its estimated potential. Geothermal energy development is required for Indonesia to empower sustainable energy systems and achieve its target of reaching 7.2 GW of geothermal energy by 2025. The geothermal energy sector is viewed as a complex dynamic system, with complicated challenges, including technical, financial, infrastructure, and many other issues. The purpose of this paper is to understand the complex nature of geothermal systems in Indonesia. To that end, this paper examines the geothermal development from a systematic and holistic standpoint, employing the interview technique to enable the conceptualization of the geothermal systems using the system dynamics (SD) approach. The SD model exhibits several underlying and important factors influencing the development of geothermal energy in Indonesia, such as capital investment, the collection of upstream data to reduce risk, infrastructure construction, pricing, incentives, permit procedures, environmental concerns, and public acceptance.
Original languageEnglish
Article number5009
Number of pages18
JournalEnergies
Volume15
Issue number14
DOIs
Publication statusPublished - 8 Jul 2022

Bibliographical note

Copyright: © 2022 by the authors.
Licensee MDPI, Basel, Switzerland.
This article is an open access article
distributed under the terms and
conditions of the Creative Commons
Attribution (CC BY) license (https://
creativecommons.org/licenses/by/
4.0/)

Keywords

  • geothermal
  • Indonesia
  • Interview
  • system dynamics

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