Perpustakaan Digital ITB

The main research question is: “How water availability would determine hydropower development in Indonesia?” Water availability is abundant in Indonesia in the form of run of rivers, waterfalls and lakes. Water as the main source for hydropower is not the issue in Indonesia. The research will investigate why even the supply is abundant and infrastructure is supportive and with a potential of 75.000 MW for hydropower resources, the development is still not as it should be. The research is based on qualitative approach in the form of interviews. Regulators, developers and bankers were the target in the interviews being held and defined as the stakeholders. The answers of the interviews were analyzed and categorized base on similarities of their answers. Problems such as financial issues, technical issues, quality of material and capacity building and complete set of licenses and as a start a certified feasibility study turned out to be important issues when setting up hydropower plants. Setting up hydropower plants is an unique experience and cannot be copied from other locations. Nevertheless, it is being acknowledged by all the stakeholders that water availability is the most important aspect in hydro power plant and therefore the development of hydropower plants still has a huge potential in Indonesia. The research proofed that the theory is far from the real situation in Indonesia. The development of hydro energy is very limited in Indonesia in comparison with fossil energy development. The political will of the Indonesian government is not supportive towards hydropower development which results in many issues jeopardizing the interest of the developers and financial institutions and the welfare of the nation as a whole. It is recommended to expand sustainable hydropower developments in Indonesia for the better of mankind fully supported by the Indonesian government.