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Current Situation and Challenges in Energy Efficiency S&L Policy Development in Indonesia Dr Edi Hilmawan Center for Energy Conversion and Conservation Tehnology, Agency for the Assessment and Application of Technology Shinagawa Prince Hotel, January 28th, 2011 IEEJ: February 2011

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Page 1: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Current Situation and Challenges in Energy Efficiency S&L Policy Development in 

IndonesiaDr Edi Hilmawan

Center for Energy Conversion and Conservation Tehnology, Agency for the Assessment and Application of Technology

Shinagawa Prince Hotel, January 28th, 2011

IEEJ: February 2011

Page 2: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Outline

• Policy and Regulation Background in Energy Efficiency 

• Energy Consumption Profile in Household Sector

• Product Sertification and Labeling Procedure in Indonesia

• Challenges in implementation of EE Labeling Policy

IEEJ: February 2011

Page 3: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

INDONESIA ENERGY VISION 25/25

ENERGY CONSERVATION(33,85%)

ENERGY CONSERVATION(33,85%)

ENERGY DIVERSIFICATION

ENERGY DIVERSIFICATION

NRENRENRE

COALCOALCOAL

GASGASGAS

OILOILOIL

NRENRENRE

COALCOALCOAL

GASGASGAS

OILOILOIL

NRENRENRE

COALCOALCOAL

GASGASGAS

OILOILOIL

NRENRENRE

COALCOALCOAL

GASGASGAS

OILOILOIL

POLICY DIRECTIONPOLICY DIRECTION

4300 MBOE

3200 MBOE 2852

MBOE

1131 MBOE

IEEJ: February 2011

Page 4: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

National Master Plan of Energy

Conservation (RIKEN)

Presidential Decree No

5/2006 (National

Energy Policy)

Presidential Instruction No 2/2008 on Energy and Water Saving

20052005 20062006 20082008 20092009

Law No 30/2007

on Energy

20072007

To decrease energy intensity at least 1% per year until 2025

To decrease energy intensity at least 1% per year until 2025

To achieve energy elasticity less than 1in 2025

To achieve energy elasticity less than 1in 2025

• Government, energy producers and energy consumer are responsible for the implementation of energy conservation

• Energy conservation is required from up-stream to downstream activities

• Government will provide incentive and disincentive for energy efficiency and conservation implementation

• Government, energy producers and energy consumer are responsible for the implementation of energy conservation

• Energy conservation is required from up-stream to downstream activities

• Government will provide incentive and disincentive for energy efficiency and conservation implementation

Government Regulation No 70/2009 on Energy efficiency

National Energy Policy

Energy Conservation Policy and Regulation

Instruction to governments offices :• to increase efficiency for energy and water consumption•To establish task force to monitor the implementation

Instruction to governments offices :• to increase efficiency for energy and water consumption•To establish task force to monitor the implementation

Obligation for large energy consumer to conduct energy audit and designate energy manager

Application of labeling for energy saving appliances

Obligation for large energy consumer to conduct energy audit and designate energy manager

Application of labeling for energy saving appliances

IEEJ: February 2011

Page 5: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Typical Electric Power Consumption in Residential Users

11,36 13,26,31 10,68 5,81

38,9936,84 47,66

16,3919,6

11,24 8,95,46

29,61 25,22

15,98 10,04 6,4

19,2826,42

14,4421,81 20,17

0%

20%

40%

60%

80%

100%

R1‐450VA R1‐900VA R1‐1.300VA R1‐2.200VA R2‐4.400VA

Others

Iron

Fan

Water Pump

Refrigerator

Television

AC

Lighting

More than 50% of electric power consumption in Residential users is for Refrigerator, Television, AC and Lighting

JICA Study (2008)

IEEJ: February 2011

Page 6: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

6

Typical Electric Power Consumption in Commercial Building

47%

55%

57%

57%

65%

25%

27%

22%

16%

15%

22%

4%

5%

14%

3%

6%

14%

16%

13%

17%

0% 20% 40% 60% 80% 100%

Office building

Government office

Shopping mall

Hospital

Hotel

Air-conditioner Lighting + Outlet Elevator Others

Most of electricity is consumed in air-conditioner and lighting.

JICA Study (2008)

IEEJ: February 2011

Page 7: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Annual Sales of Home AppliancesANNUAL SALES OF TELEVISION

(Thousand Units)

3.1753.888

3.368 3.2533.973

4.8206.025

7.531

9.414

11.768

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

LCDTV PlasmaCRT CurveCRT Flat

Projection

ANNUAL SALES OF AC (Thousand Units)

1.2001.100

1.000900

829888898

2004 2005 2006 2007 2008 2009 2010

Projection

ANNUAL SALES OF REFRIGERATORS (Thousand Units)

1.5001.900 1.800

2.200 2.4002.800

3.2203.703

4.258

4.897

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Forced Circulation

Natural Convection

Projection

ANNUAL SALES OF LAMPS (Thousand Units)

96.80088.000

80.00075.00075.00065.00065.000

60.00060.00055.000

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Projection

IEEJ: February 2011

Page 8: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

INDONESIA PRODUCT SERTIFICATION

8

STANDARD FOR PRODUCT SAFETY

• MANDATORY for some products (Foods, chemicals, electronic appliances, etc)

• Protecting the consumers from hazardous products• Regulated by Ministry of Industry and Ministry of Trade

STANDARD OF ENERGY SAVING LEVEL LABEL

• For Electrical Household Appliances and it Kinds• Voluntary for some of appliances• Information for Consumers and Energy Management

in Household Sectors• Regulated by Ministry of Energy and Mineral

Resources

Will be extended to Perfomance Standard

Will be extended to Minimum Energy Performance Standard (MEPS)

IEEJ: February 2011

Page 9: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

LABEL Product Certification Body Testing Laboratory Regulation

Body

PUSTAND (MOI),PPMB (MOT)PT Sucofindo B4T (MOI)

LIPI (MORT), Baristand (MOI), B4T (MOI), BPMBEI (MOT)PT Sucofindo, Panasonic

Ministry of Industry Ministry of Trade

PT TUV Nord Indonesia, PT EMI, PT Sucofindo

P3TKEBT (MEMR), B2TE (BPPT), PT Sucofindo, PT PLN Litbang

Ministry of Energy and Mineral Resources

Institutional Framework in Implementation of Labeling Policy in Indonesia

Product Certification Body

Testing Laboratories

Testing Standard and Procedure

Regulation Body

IEEJ: February 2011

Page 10: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Manufacturers/ Distributors

Product Certification Body

Testing Laboratory Regulator

Flow Diagram of Product  Labeling and Sertification in Indonesia

report

report

IEEJ: February 2011

Page 11: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

PRODUCT STANDARDIZATION POLICY AND REGULATION AUTHORITY

MINISTRY OF

INDUSTRY

MINISTRY OF ENERGY AND MINERAL RESOURCES

REGULATION AUTHORITY

STANDARDIZATION DISTRIBUTION

MINISTRY OF TRADE

NEED INTENSIVE AND CLOSE COORDINATION AMONG THOSE MINISTRIES

IEEJ: February 2011

Page 12: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

12

Label Application 2011 2012 2013 2014 2015

CFL TV and Refrigerator

AC and Fan Washing Machine &

Iron

Rice Cooker and

Pumps

MEPS ?? ?? ?? ?? ??

SNI : Safety

IRON, PUMPS,TV- CRT

AC,REF,

Washing Machine

TV LCD, VDC, DVD,

?? ??

SNI : Performance ?? ?? ?? ?? ??

Road Map of Labeling ProgramIEEJ: February 2011

Page 13: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Progress on Energy Effiency Labeling for Each Appliances

No. Appliances

StandardSNI 

Labeling

Energy Efficiency Labeling

Safety  PerformanceTesting 

Procedure

Energy Efficiency Criteria

Certification and Labeling

1 CFL O O O O O (2011)

2 Fan O X O O X X

3 Television O X (2011) O O X

4 Refrigerator O O (2012) O X X

5 AC O O (2012) O O X

6Electronic Ballast

O O O X X X

7 Iron O O (2011) X X X

8Washing Machine

O O (2012) X X X

9 Rice Cooker O X X X X X

10 Electric Motor O X X X X X

11 Water Pumps O X (2011) X X X

IEEJ: February 2011

Page 14: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

14141414

Testing Capability of the LaboratoriesIEEJ: February 2011

Page 15: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Public Consideration in Choosing Equipments (AC, CFL, Fan)

No Consideration F No Consideration F No Consideration F

1 Energy Consumption 24 1 Price 33 1 Brand 30

2 Price 20 2 Brand 16 2 Warranty 30

3 Brand 11 3 Energy Consumption 16 3 Size  30

4 Warranty 11 4 Capacity 11 4 Price 15

5 Durability 4 5 Function  11 5 Model 6

6 Model (Color, Size, Shape) 2 6 Durability 7 6 Energy Consumption 6

7 Others 2 7 Model 3 7 Function 2

8 Function 1 8 Warranty 1 8 Capacity 1

9 Capacity 9 Installation 1 9 Durability

10 Installation 10 Others 1 10

AC Lamp Fan

2003, Market Survey by Indonesia University

IEEJ: February 2011

Page 16: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

Challenges on Implementation of Energy Efficiency Labeling in Indonesia

• Policy Aspect– Energy Law no 30/2007: “Insentif and disinsentif for energy conservation activities”

Insentif and disinsentif scheme is need to be established

– Government Regulation No 70/2009: “.. Obligation to label energy saving equipment”

Need Detil Guideline to implement the regulation 

– Energy price policy

• Technical Aspect– Non‐standardized testing methodology and procedures

– Limited number of Accredited Testing Laboratories

– Limiter number of engineer/technician having sufficient testing capabilities 

• Institution Aspect– Too many regulation body are included in the system

– Lack of support from Industrial Association

• Socio‐Economic Aspect– Low People Awareness on Energy Saving

– Price is the most consideration in choosing equipmentsIEEJ: February 2011

Page 17: and in Energy Efficiency S&L Policy Development in …eneken.ieej.or.jp/data/3693.pdfFan Water Pump Refrigerator ... STANDARD OF ENERGY SAVING LEVEL LABEL • For Electrical Household

TERIMA KASIHARIGATOU  GOZAIMASU

Edi [email protected]

PTKKE‐BPPTGd II BPPT Lt 20, JL MH Thamrin 8, Jakarta

Tel. +62‐21‐3169793Fax. +62‐21‐3169765

IEEJ: February 2011

Contact:: [email protected]