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Andrew Blakers receives funding from the Australia Indonesia Centre and the Australian Renewable Energy Agency.
Bin Lu does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
With the support of the Australia Indonesia Centre we have identified 657 potential sites across Bali for pumped hydro energy storage (PHES), with a combined potential storage capacity of 2,300 Gigawatt-hours.
Pumped hydro energy storage is a technique to store energy produced by electricity generation. Using electricity generated from renewable energy such as solar power and wind, the potential sites for PHES that we identified in Bali would be enough to support a 100% renewable Indonesian electricity grid and more.
Solar photovoltaics (PV) and wind are now the leading electricity generation technologies being installed worldwide each year. Gas and coal are in third and fourth spots respectively. PV is accelerating away from other energy generation technologies because it''s cheaper, scalable and produces no greenhouse gas emissions, and because there is vast availability of sunshine.
Indonesia has large solar potential because of its tropical location. Much less than 1% of Indonesian land would be required to produce all of the nation''s electricity using PV. About half of the panels would be on the roofs of buildings. Although Indonesia has only a small amount of PV at present, exponential growth can change this quickly - as happened in Australia, China and many other countries.
Because of its equatorial location solar energy does not vary much throughout the year, unlike in higher latitudes. PV (and wind) are now economically competitive with new-build coal and gas in Indonesia.
The Australian and Indonesian electricity systems are of similar size. In Australia, effectively all new generation capacity is PV and wind, and no new coal power stations are ever likely to be built. PV and wind are replacing old coal power stations as these are retired. About 4.5 Gigawatts of new PV and wind will be installed in Australia in 2018, compared with peak demand of 35 Gigawatts.
Although PV and wind are variable energy resources that depend on the local weather, the approaches to support them to achieve a reliable 100% renewable electricity grid are straightforward:
provide energy storage in the form of pumped hydro energy storage (PHES) and batteries, coupled with demand management
provide strong interconnection of the electricity grid between regions using high-voltage power lines spanning long distances. This smooths out adverse local weather, greatly reducing the amount of storage needed.
PHES accounts for 97% of energy storage worldwide because it is the cheapest form of large-scale storage, with an operational lifetime of 50 years or more. Most existing PHES systems are located in river valleys and are associated with hydroelectric systems. However, off-river PHES has larger potential because of the much larger number of potential sites away from rivers.
Annual water requirements of a PHES-supported 100% renewable electricity grid would be much less than the current fossil fuel system, because wind and PV do not require cooling water. PHES, batteries and demand management are all likely to have prominent roles as the Indonesian grid transitions to 100% renewable energy.
Read more: How pushing water uphill can solve our renewable energy issues
Off-river PHES requires pairs of modestly sized reservoirs at different altitudes, typically with an area of 100 hectares. The reservoirs are joined by a pipe with a pump and turbine. Water is pumped uphill on windy and sunny days when electricity is plentiful; then, when generation tails off, electricity can be dispatched on demand by releasing the stored water downhill through the turbine.
Off-river PHES typically delivers maximum power for between five and 25 hours, depending on the size of the reservoirs.
Indonesia has enormous pumped hydro storage potential. PHES can readily be developed to balance the electricity grid with any amount of solar and wind power, all the way up to 100%. Figure 2 shows the location of prospective areas – the red areas are highly prospective.
The locations of the Bali upper reservoir sites (blue dots) are shown in Figure 3 below. Each site has between 1 gigawatt-hour (GWh) and 100 GWh of storage potential.
To put this in perspective, Indonesia probably needs less than 1,000 GWh of storage spread across a few dozen sites within the archipelago to support a 100% renewable electricity system. Developers can afford to be choosy with this large oversupply of sites.
Figure 4 below show a synthetic Google Earth image for some of the potential upper reservoirs in Bali (more details on the site search are available here). The larger reservoirs shown in each image are of such a scale that only one or two would be required to stabilise a 100% renewable electricity system for Bali.
Detailed information about the Bali sites is available here.
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The objective is to support Indonesia''s energy transition and decarbonization goal by (i) developing the first large-scale pumped storage hydropower to improve power generation peaking and storage capacity of the Java-Bali grid and (ii) strengthening PLN''s capacity for hydropower development and management.
The Project will support PLN''s development of the Upper Cisokan Pumped Storage (UCPS) Hydropower Plant, including its environmental and social impact management, implementation, and monitoring, as well as capacity building for PLN in hydropower project preparation and management. World Bank (WB) is the leading bank and will co-finance with AIIB.
The Project consists of three components:
Component 1 – development of the UCPS plant
Component 2 – environmental and social impact management for the UCPS plant
Component 3 – technical assistance and capacity building for PLN.
WB has categorized the environmental and social (ES) risks of this project as "High", which is equivalent to Category A if AIIB''s Environmental and Social Policy (ESP) were applicable.
WB is a lead co-financier, and the Project''s ES risks and impacts have been assessed in accordance with WB''s Environmental and Social Framework (ESF). To ensure a harmonized approach to addressing the ES risks and impacts of the Project, and as permitted under AIIB''s ESP, WB ESF will apply to the Project in lieu of AIIB''s ESP. AIIB has reviewed WB ESF and is satisfied that: (a) it is consistent with AIIB''s Articles of Agreement and materially consistent with the provisions of AIIB''s ESP, including the Environmental and Social Exclusion List and the relevant Environmental and Social Standards; and (b) the monitoring procedures in place that are appropriate for the Project.
Stakeholder engagement for UCPS started in 2009 under the previous WB loan and continued at different stages of the Project in the past decade. In the preparation of the proposed Project, PLN carried out extensive stakeholder consultations to inform the public of the project planning status and collect their feedback for the updating and development of Project ES plans. PLN has developed a Stakeholder Engagement Plan (SEP), and two Grievance Redress Mechanisms: one for the Project and the other specifically for Project workers.
The ES documents in English and summary in Bahasa, as appropriate, have been disclosed by PLN on its website. These documents have also been disclosed on WB''s website, and AIIB''s website will include links to these disclosures.
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