Jakarta – Eight companies purchased 70,000 units of Renewable Energy Certificate (REC) or the equivalent of 70,000 megawatts (MW) of renewable energy from state electricity company (PLN), in a signing ceremony, Tuesday (19/4).
REC is a certificate for the production of electrical energy produced by renewable energy generators. Through REC, PLN provides procurement options for customers to meet their target of using renewable energy that is transparent, accountable and internationally recognised in their business activities. One REC unit is equivalent to 1 Mega Watt hour (MWh).
The eight companies, PT Otsuka Indonesia, PT Widatra Bhakti, and six factories of PT HM Sampoerna signed the cooperation with PLN in East Java. According to PLN’s Java Madura Bali Regional Retail Executive Vice President, Abdul Farid, REC is the most important instrument in reducing emissions.
He said that the collaboration with private companies is clear evidence that the industrial sector plays an extraordinary role in the transition to new and renewable energy (NRE).
Meanwhile, General Manager of PLN East Java master distribution unit (UID), Lasiran explained that REC products are in great demand. He said, until March 2022, 30,000 MWh of renewable energy from the Kamojang geothermal power plant had been used by enterprises in East Java.
“One of the benefits that customers get with REC is that they get a procurement option to meet the target of 100 percent use of NRE that is transparent and internationally recognized and without incurring investment costs for infrastructure development,” explained Lasiran.
The REC purchase contract also helps the government accelerate energy transition towards carbon neutral 2060. It is hoped that the massive REC purchase contract in the industrial sector can encourage the growth of the national renewable energy market so as to accelerate the achievement of the energy mix target. (Hartatik)
