INDUSTRIAL ENERGY CONSERVATION

closed

The Industrial Energy Conservation Project seeks to assist the Government in establishing the institutional framework and policies for planning, promoting, coordinating, implementing and monitoring energy conservation activities. The project provides a demonstration of the benefits of energy conservation in industry through the implementation of energy efficiency schemes in large fertilizer plants. With that in mind, the proposed project includes: (a) the establishment of an Energy Conservation Center to assist the industrial sector to realize the substantial potential for reducing energy costs through conservation and rationalization activities; and (b) the implementation of specific energy efficiency investments aimed at reducing current energy use and optimizing production capacity. The establishment of the Center would help Indonesia to tap the substantial potential demand for energy conservation services in the industrial sector and would complement the Government's efforts to promote energy conservation through appropriate incentives, including a realistic energy pricing policy.