Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/238551 
Year of Publication: 
2020
Series/Report no.: 
ADBI Working Paper Series No. 1194
Publisher: 
Asian Development Bank Institute (ADBI), Tokyo
Abstract: 
Energy demand growth in Southeast Asian countries is predicted to be the highest in the world, with Indonesia having the highest urbanization rate. Along with growing urban areas, public infrastructures, such as streetlights, are also expanding. Unfortunately, energy conservation measures in public facilities are commonly constrained by the budget limitations of local governments, while the potential participation of an ESCO requires regulation reformation to settle the contradicting regulations. This study proposes several policy recommendations to modify existing guidelines for selecting ESCOs to manage energy efficiency of streetlights in Indonesia. A regulation review and several suggestions for potential improvements for selecting ESCOs are provided. In 2017, the Ministry of Domestic Affairs released a circular letter with a view to solving barriers to ESCO businesses in public sectors; however, the circular letter could be improved in several ways by eliminating the clauses on holders of intellectual property rights, revising the valuation of economic benefit bidding, and increasing the maximum contract period. Moreover, we propose the use of smart streetlighting technologies to improve the value-added services of streetlights and the establishment of a Super ESCO to accelerate ESCO business activity in all economic sectors.
Subjects: 
energy conservation
public-private partnership
energy service company
Super ESCO
JEL: 
G18
H54
H57
H70
L94
Q48
Creative Commons License: 
cc-by-nc-nd Logo
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.