Risk Analysis and Mitigation Measures of Co-firing : Case Study from Indonesia

The co-firing program initiative in Indonesia involves mixing a portion of biomass into the coal that is being used for the operation of coal power plants. It is expected that biomass will replace 10% of the coal that currently is being used by 2025. Through robust risk analysis and appropriate mitigation plans, all of the challenges and obstacles that are encountered should be overcome, thereby achieving the desired goals of the renewable policy. This research assesses the risk of co-firing based on the empirical data of the coal powered plants in Indonesia. The two extreme risk factors of co-firing are identified as the discontinuous supply of the required volume of biomass and the low quality of the available biomass. The remaining risk factors, which are classified as moderate, are the technical efficiency, reliability, the cost of the fuel, environmental impact, the management of the Fly Ash Bottom Ash (FABA), and the decreasing quality of the biomass. We found that the greatest challenge in implementing co-firing power plants is not their technical readiness; rather, it is the development of the supply channel, using the advantage of the abundant local biomass potential. As such, risk mitigation measures are needed to sustain the supply of biomass for the long term and to ensure that the biomass is available at a competitive price to ensure that electricity can be supplied at an acceptable price. © 2022 Korean Institute of Electrical Engineers. All rights reserved.