Abstract

Choosing the Indonesia's power systems that are suitable with the large-scale nuclear power plant (NPP) and the NPP's vendor country are crucial problems faced by Indonesian government. Therefore, this research analyzes the NPP impact on the power system reliability to choose the suitable power systems and the NPP economics of each possible vendor country to choose the optimal vendor that provides minimize cost. This research uses two electricity price scenarios: electricity production cost (scenario 1) and adjustment tariff (scenario 2). The results show that only Sumatra and Java-Bali system can be connected with the NPP. For both of these systems, Japanese NPP is not economical to be developed because it provides a levelized unit electricity cost (LUEC) of 0.116 USD/kWh, which is higher than the electricity prices. Meanwhile, Chinese and South Korean NPP is economical to be developed in both systems. For the Java-Bali system, Chinese NPP is the best choice in scenario 1 with a LUEC of 0.036 USD/kWh. In scenario 2, South Korean NPP that has a LUEC of 0.058 USD/kWh becomes the best choice because it has better public perception than Chinese. For the Sumatra system, South Korean NPP is the best choice in both scenarios.Keywords: Large-scale NPP selection, Indonesia power system, Reliability, Minimize cost, Electricity priceJEL Classifications: D21, D22, E39DOI: https://doi.org/10.32479/ijeep.11107

Highlights

  • Indonesia’s power system is a large power system that is divided into three operating areas, i.e., Sumatera, Java-Bali, and East Indonesia (Budi et al, 2017)

  • It showed that large-scale nuclear power plant (NPP) was more economical and suitable to be developed in Indonesia than small-medium reactor (SMR) (Budi et al, 2015; Nuryanti et al, 2014; Nasrullah, 2014; Nasrullah and Sriyana 2010; Nuryanti et al, 2012)

  • Sumatra and Java-Bali systems are the power system that can be connected to large-scale NPP

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Summary

INTRODUCTION

Indonesia’s power system is a large power system that is divided into three operating areas, i.e., Sumatera, Java-Bali, and East Indonesia (Budi et al, 2017). A research conducting an economic analysis of large-scale NPP based on factual data and Indonesia’s condition is needed. This research analyzed the impact of large-scale NPP operation on the system reliability and analyzed the economics of large-scale NPP by using the latest data based on Indonesia’s condition. The location determined the electricity tariff that used in the economic calculation of large-scale NPP This was because based on Minister of Energy and Mineral Resources’s (MoEMR) decision No 1404 K/20/MEM/2017, each region in Indonesia had different electricity production costs. Based on the economic analysis results, the NPP of specific country feasible to be developed in Indonesia power systems was obtained. The purposes of this research are to determine the power system in Indonesia that can be connected to large-scale NPP and to determine the NPP vendor country. By using this research’s result, the Indonesian government can choose where they will build NPP and from which country the NPP comes from

RESEARCH METHOD
RESULTS AND DISCUSSION
CONCLUSION AND POLICY IMPLICATIONS

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