Coal to remain king in Indonesia, for now

by Stephanie Roker, November 22, 2018 in WorldCoal

Indonesia’s consumption of domestic coal for power generation will almost double from 84 million t in 2018 to 157 million t by 2027. This increases power generation’s share of domestic consumption from 18.5% to 33.6%, which is likely to displace export tonnage.

Another factor contributing to the higher coal consumption is that Indonesia’s new power plants are designed to consume lower energy coal. This means more coal will be required per unit of electricity generated.

This increase in domestic consumption combined with potential government efforts to conserve coal reserves represents a downside risk for Indonesian exports.

Indonesia’s electrification programme to drive domestic coal demand