Export Initiative "Energy efficiency and renewable energies in the building sector in Indonesia 2019”

Date11 – 15 November 2019
ObjectiveBusiness trip with business forum and one-to-one discussions with potential business partners
PartnerBMWI – Federal Ministry for Economic Affairs and Energy
RENAC – Renewables Academy
IndustryBusinesses, self-employed from the commercial sector as well as subject-related liberal professions with the industrial focus on energy efficiency technologies and renewable energy solutions for the building sector
BackgroundPrivate households and the commercial sector together account for around one fifth of Indonesia's energy consumption and are already the third largest consumer after the transport- and industry sectors.

The building sector currently accounts for around 28% of total energy-related CO2 emissions, of which two thirds are emissions from electricity generation for use in buildings. Indonesia's national goal is to reduce greenhouse gas emissions by 29 percent by 2030 and is therefore dependent on investments in energy efficiency to reduce greenhouse gas emissions.

In conjunction with a continuing construction boom in Indonesia's urban centers, the available office space is expanding by more than 540,000 m² per year, creating a high demand for necessary building technology, especially in the area of cooling. As cooling of buildings in Indonesia accounts for about 60% of the buildings total energy consumption, it will become much more important for building owners to use energy-efficient technologies after the already gradual reduction of electricity subsidies under the Widodo government and the expected increase in electricity prices in the near future. In the absence of local players, these energy efficient technologies continue to be imported from abroad on a large scale.

In the areas of energy-efficient lighting and building automation Indonesia offers great potential for savings in electricity consumption. Just roughly 10% of buildings in Indonesia are currently equipped with LED technology for lighting. Building automation on the other hand is still mainly found in the industry in Indonesia, but building automation systems (BAS) are nowadays also increasingly used in buildings, leading to market growth of 10 -15% per year.
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