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Country insight – Indonesia

Fast facts

1? ??Indonesian primary energy demand increased by 4.9% in 2018, well ahead of its 10-year average annual growth rate of 2.8% 2007-17

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2? ??Most of the new consumption was underpinned by increased demand for transportation services, reflected in higher demand for gasoline, diesel and jet fuel

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3? ??Energy consumption per capita has increased steadily over the past decade

+4.9% – Indonesian primary energy demand growth in 2018
Indonesian primary energy demand growth in 2018
-1.5% – Annual decline in oil production 2007-17
Annual decline in oil production 2007-17
+19% – Growth in Indonesian coal production in 2018
Growth in Indonesian coal production in 2018
+81% – Growth in biofuels production in 2018
Growth in biofuels production in 2018

At a glance

  • Primary energy demand in Indonesia grew by 4.9% in 2018, well ahead of its average annual rate of 2.8% between 2007-17. This was underpinned by steady economic growth of 5.2% in 2018, marginally below its average annual rate of 5.6% 2007-17.
  • Oil accounted for 45% of incremental increase in primary energy consumption in 2018. This was underpinned by steady consumption of gasoline, diesel and jet fuel, in turn reflecting higher incomes and demand for transportation services. Conversely oil production declined by 3.5% in 2018, ahead of its 10-year average annual decline rate of 1.5%.
  • Coal consumption increased to 62 Mtoe (+7.7%) in 2018 – ahead of average annual growth of 4.7% p.a. 2007-17. This was underpinned by strong growth in coal fired power generation, accounting for 66% of the total increase in power output in 2018. This was matched by a 19% jump in coal production, up from average annual growth of 7.8% in 2007-17.
  • Natural gas consumption increased marginally by 0.4 Bcm or 1.1% in 2018. Power output from gas-fired capacity increased slightly from 56 TWh in 2017 to 60 TWh in 2018.
  • Biofuels production surged by 81% in 2018 from 50 Kboe/d to?91 Kboe/d, reflecting strong regional demand for biodiesel especially.
  • Wind and solar power generation remain negligible in Indonesia, but biomass and geothermal output increased 8.9% in 2018 to reach 3 Mtoe. Renewables accounted for 5.5% of total generation in 2018, slightly up from 5.3% in 2017.
  • Total carbon emissions from energy increased to 543 Mt in 2018, up 5.2% from 2017. This accounts for around 1.5% of total global emissions.
  • Energy consumption per capita has increased 24% since 2008 but remains less than 40% of the global average.?
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