About Us

Indonesia is by far the most important economy in Southeast Asia. Rapid economic growth and increasing domestic demand require a reliable and sustainable energy supply for industry and households. Power generation is heavily dominated by the use of fossil fuels, leading to a strong dependency on fuel imports and to high greenhouse gas emissions. Against this background, the Indonesian government committed to increase the share of renewable energy in the energy mix to 17% by 2025. 

As the world's largest archipelago with around 17,000 islands Indonesia needs decentralized, innovative and cost-efficient solutions to tackle the increase in energy consumption. It is estimated that the electricity demand will rise by 10% annually during the next decades. Contrary to this growing demand is the poor electrification ration of currently 67%. About 80 million people do not have access to modern energy services.

Being situated around the equator, Indonesia is blessed with abundant renewable energy sources. In large parts of the country the use of hydropower, bio energy solutions of the application of PV technologies are feasible and cost-efficient alternatives to conventional energy sources. 

On those backgrounds described above, the Directorate General for New and Renewable Energy, and Energy Conservation (DG NREEC or popularly known as EBTKE) in collaboration with GIZ the German Development Agency (Gesellschaft fuer Internationale Zusammenarbeit) established a new program called Promotion of Least Cost Renewable Energy in Indonesia (LCORE).

LCORE stands for Promotion of Least Cost Renewables in Indonesia. The LCORE project is funded by the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) and implemented by the GIZ Renewable Energy Program Indonesia in cooperation with the Indonesian Directorate General of New and Renewable Energy and Energy Conservation (DG-NREEC).

LCORE promotes the use of renewables in areas where renewables can be applied cost efficiently. In this context, LCORE operates in three fields of activities: (1) utilization of biomass waste from the agricultural industry for power generation, (2) replacement of diesel fuel through grid-connection of renewables as well as (3) new application and models for off grid renewables.

The project is part of the International Climate Initiative (ICI). BMU supports this initiative on the basis of a decision adopted by the German Bundestag.