Document Type
Article
Abstract
Energy is one of the most important inputs that supports Indonesia’s economy. The government utilises coal and oil as the main sources for power plants energy mix. However, the utilization of fossil fuel energy has been proven to pose negative impacts on the environment such as, increasing carbon dioxide emission which leads to global warming. This study analyses investment policy on increasing electricity production of geothermal power plants as well as substitution of fossil energy to geothermal energy using Computable General Equilibrium (CGE) Model and Indonesia’s data of Social Accounting Matrix 2008. The result shows that when investment on the substitution of energy from fossil to renewable energy takes place, economic growth will increase and carbon dioxide emission will reduce significantly.
Recommended Citation
Aissa, Nayasari and Hartono, Djoni
(2016)
"THE IMPACT OF GEOTHERMAL ENERGY SECTOR DEVELOPMENT ON ELECTRICITY SECTOR IN INDONESIA ECONOMY,"
Bulletin of Monetary Economics and Banking: Vol. 19:
No.
2, Article 3.
DOI: https://doi.org/10.21098/bemp.v19i2.628
Available at:
https://bulletin.bmeb-bi.org/bmeb/vol19/iss2/3
First Page
153
Last Page
176
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Country
Indonesia
Affiliation
University of Indonesia
