In Enhancing National Electricity Availability in Indonesia by Optimizing Renewable Energy Source: Fiscal Policy in Perspective Quintuple Helix

June 3, 2017 | Autor: Maria Tambunan | Categoría: Taxation, Tax Policy
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The aim of study is to examine current fiscal policy whether it has been applied as its aim, then to examine the possibility of its revitalization to support government vision; optimizing the use of renewable energy to ensure the availability of electricity. Current situation shows that the need of electricity will increase up to 67% in 2035 or approximately 2,2 % per year counted from 2011. The largest proportion source of electricity generation comes from non-renewable energy with distribution 80% fossil energy (coal, gas and fossil fuel), 12% renewable energy and rest comes from other alternatives. The use of renewable energy to generate electricity such as geothermal, wind, solar power, biomass is only in small proportion whereas their potential is abundant, then the dependency of fossil energy is still constantly high. In separated part, the percentage of electricity available in Indonesia is only 72,95%. For the context of fiscal policy, it shows that the government has made effort by offering fiscal incentives, however the offered fiscal incentives has not been set up in comprehensive way. Therefore, its implementation bears kinds of weakness; impartial and scattered and lack of coordination. In order to provide comprehensive analysis, quintuple helix theory was utilized since it covers five different perspective in examine a problematic situation; economic, politics, media, education and environment to reach sustainable development. This study was conducted through qualitative approach; the data was gathered by literature study, in depth interview and focus group discussion. The result shows that besides the matter of government coordination, it needs to reconstruct current fiscal policy by considering important aspects; principles of granting fiscal incentives, form, goals/target and precondition of granting fiscal incentives.
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