MANAGEMENT OF RURAL ELECTRICITY PROJECTs (REPs) FOR
SUSTAINABLE ENERGY EFFICIENCY
Author Name : Ir. Nyoman Martha Jaya, M.Const.Mgt., Ph.D., GCInstCES
Affiliation : Civil Engineering Department, the University of Udayana, Denpasar, Bali. Postal address: Jln. Pancoran 3A/11 Panjer, Denpasar, Bali, Indonesia
Email: : nmjaya@unud.ac.id Phone : 082236604622
MANAGEMENT OF RURAL ELECTRICITY PROJECTs (REPs) FOR
SUSTAINABLE ENERGY EFFICIENCY
Nyoman M Jaya
Civil Engineering Department, the University of Udayana, Denpasar, Bali, Indonesia Corresponding author: nmjaya@unud.ac.id
Abstract:
Seventeen thousand islands have spread out from West (Sabang) to East (Merauke) of Indonesia. The rural electricity access is inevitably very important for sustainable lives of communities. Many rural areas have not yet getting access for electricity as a basic need for local economic development opportunities and appropriate technology for improving knowledge and better future generations.
World Bank has funded the first stage Rural Electricity Projects (REPs) since early 1990s through Loan 3180-IND. The second REPs program was implemented between 1995 and 2000. Main objectives of the REPs program was continuing implementation of rural electrification programs for sustainable energy efficiencies, improving scope and supply new electrical powers for rural areas through gradual investment programs.
Master plan and budgeting of the REPs would adopt “least-cost concepts” with subsidiary, which is expected would provide incentives or added values for private sectors and local community businesses to take more chances and higher opportunities in new energy distributions. Therefore, it was continuously developed implementation of the REPs management for planning, organising, monitoring and controlling, especially for regional characteristics in Indonesia.
1. Introduction
The REPs project is considered as the part of long term programs in providing basic services for an electrical energy to rural areas. It is in line with policies of Indonesian Government for improving social community prosperity; stimulate social economic activities and drive rural economic development. Main components of the REPs program, included:
Provide electricity for 7,000 rural areas in Indonesia, including 2.1 million families as the priority customers.
Participation of local community and private corporations in improving rural electricity programs especially for small scale electric generators through new energy resource development.
Development of 7.5 Mega Watt (MW) hydro projects and field exploration of mini-geothermal.
Technical assistances during planning and implementation of REPs.
Beside successful implementation of initial REPs programs in stimulating economic activities for social communities, also, it was remaining financial equities, due to macro-economic condition in 1998, causing this program down-graded before meeting their objectives.
However, REPs implementation is remaining good lesson-learned in project management for planning, organising, monitoring and controlling activities. Therefore the existing program and implementation would be improved for future REP which considers following aspects/ criteria:
The REPs must be supported by sustainable funding.
Institution and project implementation in charged should be technically and financially accountable.
Holding management is responsible in technical and financial performances for maximum efficiency of REPs services.
Program promotion should be effectively improved REP benefit including social economics and financial incomes.
Key consuming category must be considered as better performance indicators, rather than total amount of electricity-line connected.
Complexities of procurement process often cause purchasing barriers and inefficiencies. Funding commitment and accessible systems for prompt and accurate information are
very essential for effective management and improving efficiency of REPs implementation in Indonesia.
2. Discussion
Indonesian government has implemented the two periods of rural electrification programs, which began in early 1990s. However, they did not achieve maximum targets of the program. Due to inefficiencies; local communities have not enough knowledge and skills for participating in the projects and it may be lot of corruptions in the system, although they have been provided a program of technical assistances. The rural corporation unit, such as Koperasi Unit Desa (KUD) has also endeavoured to participate in the projects, but they still lack of professional in practice at the time the project should be started for implementation. Private companies as the legal local business for expected profits would argue, running join corporations with the lack of professionalism and unskilled local communities may face higher risks of deficit and threatened saving. The government and private companies have attempted to work together on board for providing electricity to the rural areas. However, the progress still less and does not touch the rural social community as the main target of the program. The project of Public-Private Partnerships (PPP’s project) did not work properly, and the progress is quite slow.
The problem can be overcome by developing mutual partnerships between local-concerned and genius such as: local government, local private businesses, local KUD/ social community groups, local university partners, Non-Government Organisations (NGOs), and others. The United Nations Development Program (UNDP) identifies Pro-Poor Public-Private Partnerships (5Ps) between those who ‘faith-based’ can help improving rural area accesses for basic prosperity services including clean water facilities, Rural Electricity Projects (REPs), etc.
3. Summary
The Rural Electricity Projects (REPs) is inevitably important for sustaining local economic activities through developing ‘faith-based’ integrity (5Ps) between the local government, the universities, the rural corporation units or social community groups, the NGOs, and the other ‘pro-poor’ to improve effective management and efficiency.
It should be properly planed, organised the project integration and scope based on the local characteristics, decentralised effective monitoring and controlling systems for improving efficiency.
Bibliographies:
PLN - 2012
RUKN – National General Electricity Planning.
Reinders, A., Rural Electrification Projects for Sustainable Energy Access in Remote Indonesia Communities. 5th Alliance for Rural Electrification Workshops, Join Research between
Academia and the Industry: Bring new opportunities to the Renewable Energy Sectors. University of Twente, Departmen of Design, Production and Management, Faculty of Enggineering Technology, the Nenerlands.
Winoto, A.T., Marliska, E.D., Prasetyo, M.H., and Simangunsong, S., (2012). Rural Electrification in Indonesia, Target and Development, Website: http://energy-indonesia.com/03dge/05chiho.pdf, Accessed: Nov. 2015.
