PLN Engages Private Sector to Install More Charging Stations

MINISTRY OF ENERGY AND MINERAL RESOURCES

REPUBLIC OF INDONESIA

PRESS RELEASE

NUMBER: 5.Pers/04/SJI/2022

Date: 4 January 2022

PLN Engages Private Sector to Install More Charging Stations

Collaborating with the private sector, the state electricity utility PT PLN (Persero) will add the number of public charging stations (SPKLU) to accelerate the growth of electric vehicles which has been targeted to reach 2.19 million units by 2030.

According to Director of Electricity Business Fostering of the Ministry of Energy and Mineral Resources (EMR), Ida Nuryatin Finahari, the collaboration to install SPKLU with the public sector will be done under a value-sharing partnership scheme.

"Through the National Grand Energy Strategy (GSEN), the government has set a target to install 572 public charging stations (SPKLU) on the assumption that there are 125,000 electric four wheelers in 2021, and 31,859 SPKLU by 2030 assuming that the number of electric four wheelers will reach 2.19 million units by 2030," said Ida before inaugurating the operation of two SPKLU at the office of the Directorate General of Electricity on Tuesday (4/1).

Ida went on to say that the government together with PLN and other business entities has made every effort to meet the demand for charging station infrastructure. At the end of 2021, there were 219 EV charging station across Indonesia, while the number of electric four wheelers hit 1,760 units. Thus, the ratio of SPKLU to electric four wheelers stands at 1:8, which is higher than the recommended minimum ratio of 1:10.

"This year, the government has set a target of a cumulative total of 695 SPKLU/EV charging stations to ensure that SPKLU are available for electric four wheelers in the future. We hope PT PLN (Persero) can implement and install SPKLU, both on its own and in collaboration with private businesses," Ida commented.

Based on the provisions of Article 3 of Regulation of Minister of EMR Number 13 of 2020, the charging system of an SPKLU must consists of 3 connector types, namely:

a. Alternating Current (AC) charging of Type 2

b. Direct Current (DC) charging of AA Series; and

c. Combined Charging System (CCS) of FF Series.

The levels of charging technology at SPKLU are as follows:

o Level 1 (Slow Charging): output <= 3.7 kW, estimate charging time: 8 hours;

o Level 2 (Medium Charging): output <= 22 kW, estimate charging time: 4 hours;

o Level 3 (Fast Charging): output <= 50 kW, estimate charging time: 30 minutes; and

o Level 4 (Ultrafast Charging): output: above 50 kW, estimate charging time: 15 minutes.

An SPKLU may be run by a provider or a retailer. A provider supplies power as well as the upstream and downstream equipment, and this is what PT PLN (Persero) has been doing. On the contrary, a retailer provides the equipment only, while the power is supplied by PT PLN (Persero) or other Business Entities that Hold a Business Area Permit. Until recently, PT PLN (Persero) has installed 114 SPKLU, both with its own efforts and in cooperation with other business entities.

To speed up the growth and improve the economics of the SPKLU business, the government has given an incentive in the form of a Bulk Tariff of Rp714 per kWh for SPKLU Business Entities, who can re-sell the power at a Special Service Tariff of Rp2,475 per kWh.

Additionally, the government gives a number of incentives in the forms of Relief on Connection Fee or Subscription Guarantee and Exemption from Minimum Billing in the first two years for SPKLU Business Entities and owners of Private Power Installation that is used for Public Transportation Charging.

It is estimated that as many as 80% of electric vehicle users prefer home charging (Private Power Installation) that needs quite high power capacity. The government, through PT PLN (Persero), has also given Connection Fee incentives, as follows:

o Rp150,000 to add power of up to 11,000 VA (1 Phase)

o Rp450,000 to add power of up to 16,000 VA (3 Phase).

"Besides giving an incentive in the form of power addition tariff of only Rp150,000 for owners of electric vehicle to be given during the installation of home charging, another incentive that PLN offers is a 30% discount for the power usage between 10 p.m. and 5 a.m. daily. This way, PLN's customers who own an electric car can charge their cars during this time," said PT PLN (Persero)'s Director of Commerce and Customer Management, Bob Saril, on the same occasion.

To accelerate the development of SPKLU, PLN has invited the private sector to a partnership program under an economic value-sharing scheme. According to Saril, there are about 60 private companies that have applied for this scheme.

"There are at least 60 private companies that have applied for the SPKLU partnership program. We will continue to encourage this program so that the infrastructure will be provided by the private sector," Saril concluded. (IY)

Head of Bureau of Communication, Public Information Services, and Cooperation

Agung Pribadi (08112213555)

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