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A survey based approach to estimating the benefits of energy efficiency improvements in street lighting systems in Indonesia
Renewable and Sustainable Energy Reviews 58 (2016) 1569–1577
Contents lists available at ScienceDirect
Renewable and Sustainable Energy Reviews journal homepage: www.elsevier.com/locate/rser
A survey based approach to estimating the benefits of energy efficiency improvements in street lighting systems in Indonesia M Indra al Irsyad a, Rabindra Nepal b,n a School of Geography, Environmental and Planning Management, University of Queensland, Chamberlain building, QLD 4072 and R&D Agency for Energy and Mineral Resources, Jl. Ciledug Raya Kav. 109, Cipulir, Kebayoran Lama, South Jakarta 12230, Indonesia b CDU Business School, Charles Darwin University, Darwin, NT 0801, Australia
art ic l e i nf o
a b s t r a c t
Article history: Received 12 March 2015 Received in revised form 23 December 2015 Accepted 27 December 2015
Street lighting systems have contributed to undesirable local government expenditure, electricity peak loads, and greenhouse gas emissions. However, inadequate information on the benefits from energy efficiency improvements has given street lighting systems a lower priority in national energy efficiency policy. This paper estimates the national benefits arising from energy efficiency improvements on street lighting systems based on a pilot project in Jakarta city and energy audits in other three cities. The energy efficiency actions considered in the audits are the installation of power meters on every panel in street lighting systems and the replacement of old, inefficient armatures with high-efficiency armatures that are integrated with the dimming schemes featured in smart street lighting technology. The results show that electricity consumption reduction potential from energy efficiency improvements can reach 2.1 Terra Watts hours annually. This is equivalent to energy costs of USD 177.4 million, a USD 46.8 million energy subsidy saving, and a 2.4 million ton CO2e emission reduction. These findings can provide policymakers with important inputs while undertaking a social cost-benefit analysis of energy efficiency improvements in street lighting systems. However, achieving the potential benefits requires an active participation from investors or the Energy Service Company (ESCO) since local governments generally have limited budgets to implement these actions. & 2016 Elsevier Ltd. All rights reserved.
Keywords: Electricity consumption Emission Energy audit Energy Service Company Smart street lighting system Rebound effect
Contents 1. Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2. Street lighting system challenges . . . . . . . . . . . . . . . . . . . . 3. Energy efficiency actions on street lighting . . . . . . . . . . . . 4. Methodology and data . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5. Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6. Costs and benefits of energy efficiency for street lighting. 7. Conclusions and policy implications. . . . . . . . . . . . . . . . . . Acknowledgment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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1. Introduction Rising expenditures in street lighting initiatives in Indonesia has alarmed the local governments to undertake energy conservation and energy efficiency improvements in street lighting
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systems. In 2012, the local governments paid USD 210 million1 to cater for street lighting that consumed 1.81 percent of national electricity demand [1]. The central government financed USD 69 million to subsidize the electricity consumed by street lighting systems to offset the higher costs of oil-based generation for
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Corresponding author. E-mail addresses: [email protected] (M.I. al Irsyad), [email protected] (R. Nepal). http://dx.doi.org/10.1016/j.rser.2015.12.294 1364-0321/& 2016 Elsevier Ltd. All rights reserved.
1 USD stands for United States Dollars. This research uses exchange rate assumption 1 USD for IDR 12,000.
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electricity consumed in areas outside the island of Java. These expenditures on street lighting have exacerbated the financial burden on the cash-strapped local governments leaving less resource for targeted growth conducive public expenditure. The central government also plans to invest in additional power plant capacity to meet the demand for street lighting energy without any costs-benefits assessment when, street lighting on average, accounts for 3.5% of the peak load in Indonesia. Previous studies on energy efficiency in the Indonesian and international contexts have been mainly focused on households, the processing industry, and buildings [2,3,4,5] due to their higher share of energy consumption. International experience of Saudi Arabia suggests that 80% of the energy savings from Saudi Arabia’s energy efficiency program is achieved from buildings [6]. There are still some existing studies on energy efficiency on street lighting [6,7,8,9] that offer new technologies for street lighting, such as solar energy, LED lamps [10], and smart control systems [11,12,13,14]. Harisman et al [15] and Michaelowa et al. [16] specifically discuss local government budget ability to improve the efficiency and alternative funding schemes in Indonesia. Michaelowa et al. [16], indeed, do identify available technology and analyze its cost and benefit by simulating some scenarios in several cities. However, none of these studies have attempted to explore the broader costs and benefits of street lighting in Indonesia presenting a major gap in the literature, which our study aims to cover. This paper, therefore, evaluates the broader benefits and costs of the energy efficiency improvements on street lighting systems based on a unique two-steps methodology. First, we survey the actual condition of street lighting systems in 3 Indonesian cities of Bandung, Bengkulu and Surakarta and evaluate the performance of a pilot project in Jakarta. We focus on these three cities, as several surveys have existed for other cities. For example, Al Irsyad et al. [7] conducted a survey for Jakarta City with an objective to recommend a strategy for energy efficiency in the local context. Nonetheless, none of the previous studies extended their analysis on national cost and benefit estimation. Hence, we estimate the national benefits and costs of energy efficiency improvements in street lightening as a second step. The estimation approach decomposes the benefits and costs into each energy efficiency action. We ensure the robustness of the estimates by eliminating bias from the manipulated data. The remainder of the paper is structured as follows. Section two outlines the current challenges faced by street lighting systems in Indonesia. Section three discusses the energy efficiency actions on street lighting. The methodology and data used in the study is described under section four. Section five reports the results while section six examines the. Section seven concludes the paper and discusses policy recommendation.
2. Street lighting system challenges One of the contributors to the peak load is street lighting system since these systems operate at nighttime. In 2012, the systems contributed to 1.87% of the peak load on the Java – Bali – Madura grid, the largest national grid, which is equivalent to 397.5 MW. With 865 MVA current installed capacities and 6.26% annual load growth rate of street lighting systems, Indonesia will need an additional 380.62 MW of power capacity for the next five years. Another alternative to meet electricity demand in street lighting systems is to optimize its energy conservation potential. This is important since there are in excess of 143,348 street lighting systems in Indonesia [1]. In Indonesia, street lighting systems usually set a time to switch ON the lamps at 18.00–06.00. The switch operation requires
electricity supply; consequently, a long blackout period will lag the ON/OFF period that leads to the lamps being ON at daytime. This situation is common in cities with limited human and budget resources to maintain street lighting systems. A photocell switch with its ability to detect sunlight and storms could be beneficial in solving this problem. However, the photocell could also misinterpret cloudy weather and tree shadows as input signals and then cause the photocell to work inaccurately. Nevertheless, both control systems operate street light system at full capacity from late afternoon until early morning. The volume of road traffic varies overnight, which means the demand for street lighting systems also varies. Burgio and Menniti [17] argue that the international and also local standards for street lighting systems have been designed by considering several factors including traffic intensity. Therefore, reducing light intensity is possible in low traffic intensity to save the energy especially on peak load period. The government actually has realized this potential by issuing Minister Regulation [18] which regulates that street lighting should consume half of normal energy consumption at 24.00–05.30 except in case of rainy weather. This regulation, unfortunately, is not followed by further information related to the proper technology that could be used. Therefore, most of local governments ignore the regulation, while some local governments or highway operators respond the regulation by turning off one lamp between two lamps. Indonesia also has unmetered street lighting systems in which the electricity bill is fixed based on capacity contracts. These contracts are unfair because the calculation has marked-up the lamp load (VA) from its actual lamp load (W), as shown in Table 1. This mark-up is to account for electricity consumed by illegal street lighting systems installed by residents without reporting them to the local authority or the State-owned Electric Company (PLN). The mark-up policy is one of the contributors to transmission and distribution losses reduction as MEMR [19] reports the losses has been reduced from 11.65% in 2000 to 9.41% in 2011. However, fixed electricity bill becomes a disincentive for local governments to conserve energy on street lighting systems.
3. Energy efficiency actions on street lighting Energy efficiency actions for street lighting systems are grouped into four categories, as set out in Table 2. The first category is difficult to implement and adopt but is a low cost option that involves installing power meters to change fixed and markedup contracts. Power meter installation requires an investment for distribution cable, panels, circuit breakers and the costs associated with re-registering to PLN. However, PLN tends to reject the reregistration application without a commitment from the local government to solve the illegal street lighting problem. Local governments also maintain their argument by stating that illegal connection to the electricity grid is PLN's responsibility. Many local governments have experienced conflicts with PLN over this issue since then. An extreme example involves Bengkulu City government, which shut down all of its street lighting systems as a Table 1 Unmetered street lighting system tariff for gas discharge lamps. Actual lamp load Contracted lamp load 10–50 W 4 50–100 W 4 100–250 W 4 250–500 W Source: PLN [20]
100 VA 200 VA 500 VA 1000 VA
MI. al Irsyad, R. Nepal / Renewable and Sustainable Energy Reviews 58 (2016) 1569–1577
protest against fixed contracts. Nonetheless, PLN still charged the Bengkulu City for electricity on the basis that the contract is fixed, regardless of whether the electricity is used or not. Replacing old lamps with new and highly efficient lamps is in the second category, easy to implement and adopt alongside being low cost. Actions in this category need less coordination or agreement with external parties and the investment return has less than twoyear payback period. Table 3 shows the cost comparison between a 125 W mercury vapor (MV) lamp and a 70 W extra output high pressure sodium (HPS) lamp with equivalent illumination level; that total operational cost of the MV lamp is 1.6 times more expensive than the HPS lamp. Another alternative is to replace an MV lamp with a 50 W compact fluorescent lamp (CFL), which still complies with the pedestrian illumination level set out in the National Standard/ SNI 7391:2008 [21], as seen in Table 4. Other actions on this category are individual lamp capacitor and electronic ballast. The capacitor will improve power factor that will reduce dissipated power losses on the electrical grid. Meanwhile, the electronic ballast potentially replaces magnetic ballast in order to reduce ballast energy losses. The Philips [22] company claimed their specifications of ballast require additional input power between 20 W (W)–100 W for magnetic ballasts and 6–38 W for electronic ballasts, depending on lamp rated power. In addition, Tridonic [23] company made a comparison on power loss on their control gears including the ballasts which losses is 10.7–10.8 W for electronic ballasts and 15–24 W for magnetic ballasts. Another action in this category is highly efficient reflector indicated by high light output ratio (LOR) value. High LOR armature could use lower rated wattage lamp without sacrificing illumination level. The third category is easy to implement and adopt but incurs high cost. It means that less coordination is required with other parties but investment return period will be longer than two years. One of the technologies in this category is dimming ballast, which reduces street lighting energy consumption during the dimming period [17,24]; Orzáez & Díaz, 2013. However, previous dimming technology has a fixed dimming level and does not take into consideration actual traffic and weather conditions. The alternative is an adaptive street lighting system called smart street lighting system that could dim the lamp based on either traffic intensity probability [25] or real time sensing [26,27]. The technology has been well accepted and its market will grow 24.9% a year especially in Asia Pacific and Europe [28]. Renewable energybased street lighting system is another technology in the third category. Nevertheless, the system could not compete with dimming ballast and smart street lighting system in terms of economic and technology feasibility. From economic feasibility perspective, investment of those all technologies is almost equal, which is around USD 600–700 per unit; on the contrary, the renewable energy-based street lighting system has higher operational cost for replacing battery valued USD 100 every two years or equivalent to USD 50 each year. In addition, dimming ballast technology also still incurs electricity cost, but it is only for USD 30.9 per year for a 100 W LED lamp by assuming 70% dimmed lamp for 6 hours a day and 5 W energy loss. Meanwhile, from technical feasibility
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Table 3 Cost of street light lamps. No
Parameter
MV
CFL
HPS
1 2 3 4
Power rate (W) Illumination (lm) Age 50% failure (hours) Power consumption (kWh/28,000 h) Electricity cost (USD) Lamp price (USD/unit) Lamp (units) Lamp cost (USD) Total cost (USD/28,000 h)
125 6,200 16,000 3,500
50 3,290 8,000 1,400
70 6,400 28,000 1,960
276.8 5.0 2 10 286.8
110.7 9.2 4 36.8 147.5
155.0 18.8 1 18.8 173.8
5( ¼ 4 x tariff) 6 7 8 (¼ 6 7) 9( ¼ 5þ 8)
Table 4 Illumination standard. Road classification
Illumination level (lux)
Pedestrian Local road –Primary –Secondary Collector road –Primary –Secondary Arterial road –Primary –Secondary Arterial road with access to highways Channel, flyover
1–4 2–5 2–5 3–7 3–7 11–20 11–20 15–20 20–25
Source: BSN [21].
perspective, many solar energy-based street lighting system projects, either on highway operator or government projects, have failed to show their advantages, since mostly all of them only have lifetime less than one year or even, on the worst case, poor lumen maintenance. If the later case happens, the project owner could not claim replacement guarantee because the lamp is still on, although the light is very less bright. The last category involves both difficult to implement and adopt and high cost actions in which one of the actions is establishing capacitor bank technology. As an individual capacitor, the function of the capacitor bank is also to improve power factor of street lighting system. Low power factor will raise electricity current that produces higher power dissipation or heat losses on the cable. Even though installing a capacitor bank needs less coordination with other parties, a special energy audit is needed to determine the capacitor value and to decide on the placement of the capacitor cabinet. The investment cost of the capacitor is high, while the economic return varies based on the load capacity and power factor correction.
4. Methodology and data Table 2 Category of energy efficiency actions.
Easy to implement and adopt
Low cost
High cost
High
Renewable
Difficult to implement and adopt
efficiency lamps Individual lamp capacitor Electronic ballast Power meter
energy-based street lighting system Dimming ballast
Smart street lighting system Capacitor bank
Estimating national energy efficiency benefits needs to calculate actual energy consumption on street lighting systems. The existing electricity consumption (E0) is the sum of the energy consumption on unmetered street lighting systems (E0u) and the energy consumption on metered street lighting systems (E0m); thus, the formula is: E0 ¼ E0u þ E0m
ð1Þ
PLN uses the power category for i lamps (PCi) on Table 1 and a 12.5 working hours a day value for 365 days a year to determine
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E0u: E0u ¼
MI. al Irsyad, R. Nepal / Renewable and Sustainable Energy Reviews 58 (2016) 1569–1577
X
ðPC i x unmetered lamp si Þx12:5x365
ð2Þ
then utilizes a power meter measurement to determine E0m. Local governments usually set time switch for 12 working hours a day. For i lamp power (LPi) and an addition of 50 W electricity consumption, the assumption for other street lighting equipment, such as the ballast, igniter and capacitor, E0m will be: X ð½LP i þ 50x metered lamp si Þx12x365 ð3Þ E0m ¼ The first and main action to conserve energy is to install power meters for unmetered street lighting systems. Even though the actual electricity consumption is unaffected, this strategy reduces the electricity bill (E1) by changing the mark-up and fixed contract (E0m) into actual measurement (E1u) on unmetered street lighting systems. E1 ¼ E1u þ E1m E1u ¼
X
ð4Þ
ð½LP i þ 50x unmetered lamp si Þx12x365
E1m ¼ E0m
ð5Þ ð6Þ
Local governments could then use their electricity bill savings to replace inefficient lamps and other equipment. Light emitting diodes (LED), induction and extra output HPS lamps with a one level lower lamp power (LLP) rate could be advantageous to replace existing MV and conventional HPS lamps, as shown in Table 5. Furthermore, electronic ballast utilization potentially lowers the electricity consumption of magnetic ballast into 10 W. Electricity consumption from lamp and equipment replacements is E2. E2 ¼ E2u þ E2m E2u ¼ E2m ¼
X
ð7Þ
ð½LLP i þ 10x unmetered lamp si Þx12x365
X
ð½LLP i þ10x metered lamp si Þx12x365
ð8Þ ð9Þ
Dimming ability on smart street lighting systems could further reduce electricity consumption into E3. Street lighting systems will work at their rated power for 6 h a day at 18.00–24.00, while at 00.00–05.30 the systems only work at 50% of their rated power. This scheme is based on regulation [18], although the dimming scheme ideally should be different for each city. The effectiveness and the safety of dimming scenario will be evaluated by pilot project performance for smart street lighting in Jakarta that has been installed since 2012. E3 ¼ E3u þ E3m E3u ¼
X
ð10Þ
ð½LLP i þ 10x unmetered lampsi Þx 365 x ð6 þ ½5:5 x 0:5 ð11Þ
E3m ¼
X
ð½LLP i þ 10 x metered lamp si Þx 365 x ð6 þ ½5:5 x 0:5Þ ð12Þ
Generally, local government has poor data on the number and type of street light lamps. During broken lamp replacement, changes of lamp rated power and type are unrecorded, so obtaining the data from local government is impossible. To Table 5 Lamp replacement scenario. Old, inefficient lamp power (W)
New, efficient lamp power (W)
400 250 150–125
250 125 70
Table 6 Survey condition. City
Street lighting systems (Systems)
Sampled systems (Systems)
Surveyed lamps (Units)
Bandung Bengkulu Surakarta Total
862 192 604 1658
35 26 95 156
653 517 3081 4251
estimate the number of each type of street light lamp, this research conducted a sampling survey of street lighting systems in three cities in 2013; those are Bengkulu, Bandung, and Surakarta. Different survey constraints, such as weather and budget, resulted in different sampling numbers, as shown in Table 6. Hence, our methodology (see Fig. 1) differs from earlier studies like Becker et al. [3] and Chan et al. [29] since we emphasize on national benefit calculations and detailing on the energy audit process. Electricity bill analysis is needed to classify the bill for each system from the lowest to the highest bill in order to determine sampling locations. The analysis is also to check whether PLN has used correct tariff and accurately reported the electricity consumption. This research conducts power quality measurement such as voltages, electrical currents, power factors, and electricity power on the sampling location. The purpose of the measurement is to obtain actual daily energy consumption and also to observe physical condition of the systems. On site power measurements are then compared to electricity bill to calculate the deviation and to analyze its causes. The average deviation is then used as a deviation reference for other unmeasured systems. By identifying its actual energy consumption, this study could estimate actual energy saving achieved from the energy efficiency actions. Those actions and energy saving are then further analyzed by using total life cycle cost (TLCC) to obtain detailed calculation of the costs and the benefits.
5. Results In metered street lighting systems, the energy audit concludes that the electricity consumptions in the 2 cities are overcharged by the PLN. Fig. 2 shows that the surveyed systems in Bandung and Surakarta cities have been charged for 145 kW and 750 kW respectively while the direct measurement in the energy audit shows the consumptions are 97 kW and 645 kW. The charged electricity consumption has been converted from monthly into moment consumption in the comparison process. The difference between charged and actual consumptions is mostly caused by that the PLN never read the power meter monthly in order to reduce the labor cost. The PLN does the meter reading but in long interval period and then forecast the consumption between the intervals. One possible solution to this problem is to use smart street lighting system. It will need new investment cost but it give additional benefit too. The PLN could use the technology to reduce electricity consumption in street light system immediately if there is a capacity deficit to serve peak load. The results of the survey, as set out in Fig. 3, show that the majority of street lighting systems in Bandung, Surakarta, and Bengkulu are 250 W HPS lamps. These lamps have the highest average lamp distribution of 41%, while the 400 W HPS lamps are in the second place with 29%. Meanwhile, to estimate the number of the lamps requires an analysis of the installed capacity of both unmetered and metered street lighting systems. Our analysis of the electricity bill for Bandung’s street lighting shows that the bill for the unmetered systems reached 70% of the
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Start
Electricity bill analysis
Determining survey location
Identifying problems on electricity bill
Measuring actual energy consumption
Analyzing energy and cost saving potential for all systems
Analyzing energy and cost saving potency for sampled systems
End
Fig. 1. Research methodology.
750
645
Charged consumption (kW) Measured consumption (kW)
145
97
64
63
Fig. 2. Comparison between charged and measured power consumptions.
Fig. 4. Comparison between metered and unmetered street lighting systems. Table 7 Total lamp estimation.
Unmetered lamps Metered lamps Lamp total (units)
Fig. 3. Lamp rated power distribution.
total bill, even though the load capacity of the unmetered and metered systems is almost equal, as shown in Fig. 4. It is an actual illustration of unmetered system problem discussed before. Fig. 4 also shows that the average capacity of the unmetered systems in the three cities is 59% of the total capacity of street lighting systems. By assuming this average as the national average, the capacity of unmetered street lighting systems will be 510.6 MVA. Number of unmetered street lighting lamp could be estimated from the estimated capacity of unmetered system, power category (PC) in Table 1 and lamp power distribution in Fig. 3: X ðPC i x unmetered lamp si Þ Installed capacity0u ¼ Installed capacity0u ¼
X PC i x average lampsi distribution x total unmetered lamps
Totalunmeteredlamps ¼ P
ðPC i
Installedcapacity0u xaverage lampsi distributionÞ
Total unmetered lamps ¼
510:6 MVA ¼ 794; 010 units ð1000 VAx29%Þ þ ð500 VAx41%Þ þ ð500 VAx17%Þ þ ð500 VAx13%Þ
while the estimation of number of the metered street lighting lamp uses the estimated metered capacity 354.8 MVA, or 41% of the national street lighting capacity, and lamp power distribution
4400 W 250 W
150 W
o 125 W Lamp total (units)
227,127
327,429
135,417
104,038
327,947 555,074
472,772 195,528 150,219 800,201 330,944 254,257
in Fig. 3: Installed capacity0m ¼
X
794,010 1,146,466 1,940,476
ð½LP i þ 50x metered lamp si Þ
Installed capacity0m ¼
X
ð½LP i þ 50x average lamp si distribution x total metered lampsÞ
Total metered lamps ¼
354:8 MVA ð450 Wx29%Þ þ ð300 Wx41%Þþ ð200 Wx17%Þþ ð175 Wx13%Þ
¼ 1; 146; 466 units
The average lamp distribution in Fig. 3 multiplied by our estimation of the total lamp amount will result in an estimation of the lamp amount for each rated power, as shown in Table 7. Based on Table 7, power meter installation set into all unmetered street lighting systems will correct the reported capacity from 510.6 MVA (E0u) to 245.7 MVA (E1u). The power meter also solves two other problems found in the survey related to bill calculation transparency. The first problem relates to overcharged energy consumption (W), where the maximum energy consumption should be limited by the contracted lamp load (VA). For example, as shown in Table 1, a mercury 125 W lamp cannot be charged for 550 VA because its contracted lamp load is 500 VA. This overcharged consumption has been found in Surakarta City, as shown by negative balance between contracted capacity (VA) and charged consumption (W) in Fig. 5. The second problem,
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overcharged tariff rates, occurred in Bandung City. The regulated electricity tariff for street lighting systems was USD 7.53c/kWh [30], but some of Bandung’s street lighting systems were charged at the rate of USD 4.17/kWh. Based on Eq. (4) and Table 7, power meter installation will correct energy consumption report from 3140.8 GWh/year to 2,630.3 GWh/year. Local governments already enjoy the benefits of the correction that is equivalent to 16% bill reduction, even actual energy consumption is unchanged. Lamp replacement will reduce the actual consumption by 58% by following scheme shown at Table 5 and Eq. (7). Additionally, the dimming feature in smart street lighting systems will optimize the reduction to 68%, as shown in Fig. 6. Meanwhile, the benefit of smart street lighting technology depends onto what extent the lamp wattage could be dimmed; it means larger lamp wattage is more feasible to be used by smart lighting systems. This research limits the feasible lamps set in smart street lighting systems, that is, only new lamps with minimum wattage of 125 W can be utilized. The dimming scenario should be evaluated its effectiveness and safety by considering the performance of pilot project for smart street lighting systems in Kebon Sirih (secondary arterial) road, Central Jakarta. Table 8 shows that the replacement 250 W HPS lamp with 150 W lamps has reduced electricity consumption for 38%. The lux meter measures that the illumination level has been 20000 15000
Surakarta City
Bandung CIty
10000 5000 0
Systems
-5000
Fig. 5. VA-W on unmetered street lighting systems.
3,140.8 GWh/year
2,630.3
1,310.3 1,011.0
Exisng mark-up electricity consumpon (E0)
Actual electricity consumpon if 100% meter installed (E1)
Electricity consumpon if inefficient lamp replaced (E2)
Electricity consumpon if smart street lighng system applied (E3)
Fig. 6. Energy saving potential for Indonesia’s street lighting systems.
reduced from 31 lx into 20 lx and 16 lx for new induction and LED lamps respectively. Both lamps’ outputs are still within the illumination requirement in Table 4. Because the new lamps have white (5000 °C) color temperature, the new illumination level measured by the lux meter should be multiplied by 1.96 to compare it with yellow color temperature lamps. As a result, the adjusted new illumination level is higher than previous level. By this measurement adjustment, dimming trial for 50% rated power is also satisfying the minimum level of illumination level in Table 4.
6. Costs and benefits of energy efficiency for street lighting Economic growth and regional development have resulted in the growth of street lighting systems. In 2012, there were 143,348 systems with most of these being distributed in Java [1]. Unfortunately, the high number of systems brings challenges. The first is in terms of economic cost. Electricity consumption of 3 TWh had already cost local governments USD 210 million. The central government also provided an electricity subsidy of USD 68.9 million in 2012 only for street lighting systems. In Fig. 6, the estimation derived from this analysis is an energy consumption reduction potential of 68% that is equivalent to 2.1 TWh, or USD 177.4 million in 2012. The highest energy efficiency potential is concentrated on provinces in the Java Island and North Sumatera that have been well known for their biggest cities in Indonesia such as Jakarta, Surabaya, Bandung, Semarang, Yogyakarta and Medan as in Fig. 7. Energy efficiency on street lighting systems would also potentially cut the electricity subsidy to USD 46.8 million as indicated in Fig. 8. In contrast to electricity consumption reduction, no electricity subsidy has been cut for street lighting systems in Java and Bali Islands, since the electricity supply is produced from coal-based power plant which has low production cost. On the other hand, the central government will enjoy the benefit of the energy subsidy reduction in provinces outside Java and Bali Islands, which are still supplied by electricity produced from oil-based power plants. Other exceptions are for Batam and Tarakan which have non subsidized electricity tariff, for West Sumatera which has abundant hydro power, and for South Sumatera – Jambi – Bengkulu which have coal-based power plant and also hydro power which could compensate oil-based power plants in small interconnection systems in the regions. Another benefit of energy efficiency on street lighting systems is to support greenhouse gas (GHG) reduction targets. By using the average emission factor of national grid of 0.762 kg CO2e/kWh, it can be estimated that street lighting systems have released emissions of at least 2.4 million tons of CO2e each year. Achieving the energy reduction potential will result in a GHG reduction of 1.6 million tons of CO2e each year, or 9.8 million tons of CO2e for the period 2015–2020. The average annual emission reduction for 514 cities and regencies is 3,113 t CO2e/ cities as a comparison to
Table 8 Performance of smart street lighting pilot project in Jakarta. No
Description
Color temperature
Period (hours)
Electricity saving (%)
Illumination level (lux)
1 2
250 W HPS lamps (old lamp) No Dimming -150 W induction lamps -150 W LED lamps Dimming 50% -150 W induction lamps -150 W LED lamps
Yellow White (5000 °K)
12 12
0 38
31 20 16
White (5000 °K)
4,5
53-56
13 8
3
Note: The above measurements were conducted from 4 January 2013 to 1 March 2013. For equivalent consideration, the measured illumination level for 5000 °K color temperature should be multiplied by 1.96, the scotopic/photopic ratio [31].
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Michaelowa et al. [16] obtaining 8,571 t CO2e/ cities based on 7 cities in Java Island. This benefit equates to 30% of the 32.8 million ton CO2e emission reduction target for the energy sector set by Presidential Decree 61/2011 about the National Action Plan on Greenhouse Gases Emission Reduction [32]. Investment costs needed are divided into 3 strategy costs, which are power meter installment, lamp replacement and smart street lighting technology as shown in Table 8. SNI 7391:2008 regulates standard distance between two lamps, which is 20–60 m depending on road type. By using assumption on average distance, which is 50 m with 12 m additional cables for sag and other connection tolerances, power meter installments require 600.0
Energy Saving (GWh/ year) Energy Consumption after Efficiency (GWh/year)
GWh
500.0 400.0
300.0 200.0 Aceh North Sumatera West Sumatera Riau South Sumatera, Jambi… Bangka Belitung Lampung West Kalimantan South and Central… East Kalimantan Gorontalo, North &… South, North-West, &… Maluku & North Maluku Papua Bali NTB NTT Batam Tarakan East Java Cetral Java & Jogya West Java & Banten DKI Jakarta & Tangerang
100.0 -
Fig. 7. Energy saving potential for street lighting systems. 25,000,000
USD
20,000,000
Electricity Subsidy Saving Electricity Subsidy after Efficiency
15,000,000 10,000,000
1575
41,288 km new cables for 794,010 unmetered lamps. The next assumption is to assure system stability, which determines that each system only serves 30 lamps. Therefore, power meter installments need 26,476 new panel boxes in which each of them consists of miniature circuit breaker (MCB), time switches and main fuse. Another cost needed is re-register cost for unmetered systems to become metered systems, with actual power capacity estimation is 245.7 MVA. By comparing the benefits of smart street lighting technology on Figure 6, USD 127 million investment cost for power meter installment will be returned in 3 years.. Table 9 shows lamp replacement can be realized through 2 options: complete luminaire replacement by using LED lamps or replacement for lamp bulb having same cap base by using highefficiency lamps such as extra output HPS lamps. Replacement scheme by inserting scenario in Table 5 into Table 7 shows that 555,074 units of 400 W old lamps need to be replaced by 250 W new highly efficient lamps; 800,201 units of 250 W old lamps need to be replaced by 150/125 W new highly efficient lamps, and; 585,201 units of 150 W or lower old lamps need to be replaced by 70 W extra output HPS lamps. Replacing extra output HPS lamp bulb and electronic ballast is cheaper rather than replacing completed LED luminaire with new housing. The investment on extra output HPS lamp bulb and electronic ballast reaches USD 169 million, but it will be returned in 1.5 years. Smart street lighting technology consists of a central controller for 250 lamps and an individual lamp controller for each lamp as on Table 9. The number of new lamps with minimum wattage of 125 W reaches 1,355,275 units, which are derived from 555,074 units of 250 W new lamps and 800,201 units of 150/125 W new lamps as on Table 9.Those lamps require 5,421 units of central controller. As a note, the costs for investment as mentioned in Table 9 have already included installation costs. Then, the costs and benefits for each strategy can be summarized in Table 10.
-
Aceh North Sumatera West Sumatera Riau South Sumatera, Jambi &… Bangka Belitung Lampung West Kalimantan South and Central… East Kalimantan Gorontalo, North &… South, North-West, &… Maluku & North Maluku Papua Bali NTB NTT Batam Tarakan East Java Cetral Java & Jogya West Java & Banten DKI Jakarta & Tangerang
5,000,000
Fig. 8. Electricity subsidy saving potential for street lighting systems.
7. Conclusions and policy implications Street lighting systems are critical to the economic performance of the Indonesian economy. These systems support nighttime economic activity and also encourage new settlements. This study has shown that the investment for electricity conservation in street lighting will be returned on 2.9 years on average, although local governments seem to have objection, due to limited
Table 9 Investment cost for energy efficiency. Strategy Power meter installment -Cables -Panel Box -MCB -Time switches -Re-register cost -Main fuse (ceramics) -Lamp replacement -Completed luminaire LED 250 W -Completed luminaire LED 125 W -Extra output HPS/induction lamp 250 W -Extra output HPS/induction lamp 150 W -Extra output HPS/ induction lamp 70 W -Dimmable electronic ballast 250 W Dimmable electronic ballast 150 W -Electronic ballast 70 W -Smart Street Lighting Systems -Segment controller -Lamp controller Total Cost
Cost Unit
Unit Amount
$2.3/ m $ 416.7/unit $5.8/unit $29.2/unit $0.1/VA $5.8/unit
41,288,520 26,467 26,467 26,467 245,700,000 26,467
$808.3/unit $683.3/unit $40.4/unit $37.1/unit $29.2/unit $55.8/unit $48.8/unit $51.6/unit
555,074 800,201 555,074 800,201 585,201 555,074 800,201 585,201
$5,000.0/unit $144.3/unit
5,421 1,355,275
Costs for LED Scenario ($)
Costs for Extra Output HPS Scenario ($)
127,162,682.5 96,339,880.0 11,027,916.7 154,390.8 771,954.2 18,714,150.0 154,390.8 995,488,833.3 448,684,816.7 546,804,016.7
127,162,682.5 96,339,880.0 11,027,916.7 154,390.8 771,954.2 18,714,150.0 154,390.8 169,318,516.3
222,603,918.8 27,105,500.0 195,498,418.8 1,345,255,434.6
22,434,240.8 29,674,120.4 17,068,362.5 30,945,375.5 39,009,798.8 30,186,618.3 222,603,918.8 27,105,500.0 195,498,418.8 519,085,117.5
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Table 10 Cost and benefit of energy efficiency on street lighting systems. Strategy
Benefit (USD) Cost (USD)
Rate of return (years)
Power meter installment Lamp replacement Smart Street Lighting Systems Total
42,414,913 109,668,190 25,827,211
127,162,682.5 3.0 169,318,516.3 1.5 222,603,918.8 8.6
177,910,314
519,085,117.5
2.9
budgets for metering and conserving energy on street lighting. The Energy Service Company (ESCO) should fill this financial gap by expanding their service-to-government sector. Unfortunately, goods and services procurement regulations for government do not take into account the ESCO scheme. Therefore, all ESCO contracts for street lighting systems have experienced problems with the Supreme Audit Agency (BPK). ESCO has proven its effectiveness in the case of Pasuruan local government which successfully reduced its electricity bill for street lighting systems from USD 200,000 per month to USD 108,000. However, the Supreme Audit Agency questioned the interest element in the installment contract because the law prohibits the government from having a debt owed to a private sector. In contrast with the Pasuruan local government which selected ESCO through an open tender, Pati local government selected ESCO through direct cooperation. Due to this decision, the Supreme Audit Agency asked for a calculation of the basis used for the electricity saving share between the local government and ESCO. In 2007, the government, through Government regulation 50/2007 [33], prohibited direct selection for local government cooperation scheme. Meanwhile, local government cooperation projects are usually followed by construct infrastructure that provides income rather than saves expenditure. Hence, local governments are still doubtful about using ESCO’s services to operate and maintain their street lighting systems. The alternative is conducting cooperation between local government and PLN, whereby PLN with ESCO help, will conserve energy but the monthly electricity bill will be unchanged until the investment cost is returned. This scheme will simplify power meter installment procedure which is truly on PLN’s responsibility. In addition, investment repayment will also be a part of PLN services. Considering the position of PLN as a state owned company (BUMN) which must obey tender procurement on local government cooperation scheme as stated on Government Decree 50/ 2007 [33], therefore, Ministry of Energy and Mineral Resources together with Ministry of Domestic Affairs should release new regulation to directly appoint PLN as a super ESCO which will act as the executor of energy efficiency actions on street lighting systems, since according to Law 30/2009 [34] about Electricity Power, PLN has the priority to conduct electricity supply business in Indonesia As another alternative, local governments could use one year performance-based contracts to conserve energy, with the payment level depending on performance achievement. This alternative also requires legalizing the illegal street lighting systems. This scheme follows common public procurement and as a consequence, local government should allocate all investment costs needed. For their funding, local governments could borrow from the Government Investment Center – Ministry of Finance [15]. The weakness of this scheme is that local government should maintain the street lighting systems after the completion of the contract. Whereas, generally local government has several constraints related to limited human resources in both numbers and quality. Therefore, this scheme gives less assurance to keep efficient energy consumption after contract guarantee period ends.
It should be noted that the estimated benefits, yet, still do not count for rebound effect that could be simply defined as an increase of energy consumption in macro level because of energy efficiency in micro level. The logic is energy efficiency results lower energy costs, causing more demand on energy. Developing countries such as Indonesia tend to have higher rebound effect than developed countries [35]. Some measures have been suggested to anticipate the rebound effect, such as energy tax, environment tax [36], and energy subsidy reduction [37]. Those measures are only to increase energy prices as a compensation of relatively lower energy costs; therefore, the measures are not politically suitable for Indonesia whose mission is to provide affordable energy price and to increase public infrastructure. The measures also become disincentives for energy efficiency investment because the investment payback period will be deteriorated by the increased price. It is more likely to say ‘please improve your energy efficiency then you will be awarded a new additional tax’. Rebound effect anticipation, at least for street lighting systems, is to limit its light supply until minimum illumination standard on Table 4 is reached.
Acknowledgment The first author acknowledges funding supports from the Indonesia Endowment Fund for Education (LPDP), Ministry of Finance – The Republic of Indonesia (Grant no: 20141122092191). We also acknowledge the comments from the editor and the referee for guiding the improvements in the paper. All usual disclaimers apply.
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Contents lists available at ScienceDirect
Renewable and Sustainable Energy Reviews journal homepage: www.elsevier.com/locate/rser
A survey based approach to estimating the benefits of energy efficiency improvements in street lighting systems in Indonesia M Indra al Irsyad a, Rabindra Nepal b,n a School of Geography, Environmental and Planning Management, University of Queensland, Chamberlain building, QLD 4072 and R&D Agency for Energy and Mineral Resources, Jl. Ciledug Raya Kav. 109, Cipulir, Kebayoran Lama, South Jakarta 12230, Indonesia b CDU Business School, Charles Darwin University, Darwin, NT 0801, Australia
art ic l e i nf o
a b s t r a c t
Article history: Received 12 March 2015 Received in revised form 23 December 2015 Accepted 27 December 2015
Street lighting systems have contributed to undesirable local government expenditure, electricity peak loads, and greenhouse gas emissions. However, inadequate information on the benefits from energy efficiency improvements has given street lighting systems a lower priority in national energy efficiency policy. This paper estimates the national benefits arising from energy efficiency improvements on street lighting systems based on a pilot project in Jakarta city and energy audits in other three cities. The energy efficiency actions considered in the audits are the installation of power meters on every panel in street lighting systems and the replacement of old, inefficient armatures with high-efficiency armatures that are integrated with the dimming schemes featured in smart street lighting technology. The results show that electricity consumption reduction potential from energy efficiency improvements can reach 2.1 Terra Watts hours annually. This is equivalent to energy costs of USD 177.4 million, a USD 46.8 million energy subsidy saving, and a 2.4 million ton CO2e emission reduction. These findings can provide policymakers with important inputs while undertaking a social cost-benefit analysis of energy efficiency improvements in street lighting systems. However, achieving the potential benefits requires an active participation from investors or the Energy Service Company (ESCO) since local governments generally have limited budgets to implement these actions. & 2016 Elsevier Ltd. All rights reserved.
Keywords: Electricity consumption Emission Energy audit Energy Service Company Smart street lighting system Rebound effect
Contents 1. Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2. Street lighting system challenges . . . . . . . . . . . . . . . . . . . . 3. Energy efficiency actions on street lighting . . . . . . . . . . . . 4. Methodology and data . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5. Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6. Costs and benefits of energy efficiency for street lighting. 7. Conclusions and policy implications. . . . . . . . . . . . . . . . . . Acknowledgment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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1. Introduction Rising expenditures in street lighting initiatives in Indonesia has alarmed the local governments to undertake energy conservation and energy efficiency improvements in street lighting
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systems. In 2012, the local governments paid USD 210 million1 to cater for street lighting that consumed 1.81 percent of national electricity demand [1]. The central government financed USD 69 million to subsidize the electricity consumed by street lighting systems to offset the higher costs of oil-based generation for
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Corresponding author. E-mail addresses: [email protected] (M.I. al Irsyad), [email protected] (R. Nepal). http://dx.doi.org/10.1016/j.rser.2015.12.294 1364-0321/& 2016 Elsevier Ltd. All rights reserved.
1 USD stands for United States Dollars. This research uses exchange rate assumption 1 USD for IDR 12,000.
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electricity consumed in areas outside the island of Java. These expenditures on street lighting have exacerbated the financial burden on the cash-strapped local governments leaving less resource for targeted growth conducive public expenditure. The central government also plans to invest in additional power plant capacity to meet the demand for street lighting energy without any costs-benefits assessment when, street lighting on average, accounts for 3.5% of the peak load in Indonesia. Previous studies on energy efficiency in the Indonesian and international contexts have been mainly focused on households, the processing industry, and buildings [2,3,4,5] due to their higher share of energy consumption. International experience of Saudi Arabia suggests that 80% of the energy savings from Saudi Arabia’s energy efficiency program is achieved from buildings [6]. There are still some existing studies on energy efficiency on street lighting [6,7,8,9] that offer new technologies for street lighting, such as solar energy, LED lamps [10], and smart control systems [11,12,13,14]. Harisman et al [15] and Michaelowa et al. [16] specifically discuss local government budget ability to improve the efficiency and alternative funding schemes in Indonesia. Michaelowa et al. [16], indeed, do identify available technology and analyze its cost and benefit by simulating some scenarios in several cities. However, none of these studies have attempted to explore the broader costs and benefits of street lighting in Indonesia presenting a major gap in the literature, which our study aims to cover. This paper, therefore, evaluates the broader benefits and costs of the energy efficiency improvements on street lighting systems based on a unique two-steps methodology. First, we survey the actual condition of street lighting systems in 3 Indonesian cities of Bandung, Bengkulu and Surakarta and evaluate the performance of a pilot project in Jakarta. We focus on these three cities, as several surveys have existed for other cities. For example, Al Irsyad et al. [7] conducted a survey for Jakarta City with an objective to recommend a strategy for energy efficiency in the local context. Nonetheless, none of the previous studies extended their analysis on national cost and benefit estimation. Hence, we estimate the national benefits and costs of energy efficiency improvements in street lightening as a second step. The estimation approach decomposes the benefits and costs into each energy efficiency action. We ensure the robustness of the estimates by eliminating bias from the manipulated data. The remainder of the paper is structured as follows. Section two outlines the current challenges faced by street lighting systems in Indonesia. Section three discusses the energy efficiency actions on street lighting. The methodology and data used in the study is described under section four. Section five reports the results while section six examines the. Section seven concludes the paper and discusses policy recommendation.
2. Street lighting system challenges One of the contributors to the peak load is street lighting system since these systems operate at nighttime. In 2012, the systems contributed to 1.87% of the peak load on the Java – Bali – Madura grid, the largest national grid, which is equivalent to 397.5 MW. With 865 MVA current installed capacities and 6.26% annual load growth rate of street lighting systems, Indonesia will need an additional 380.62 MW of power capacity for the next five years. Another alternative to meet electricity demand in street lighting systems is to optimize its energy conservation potential. This is important since there are in excess of 143,348 street lighting systems in Indonesia [1]. In Indonesia, street lighting systems usually set a time to switch ON the lamps at 18.00–06.00. The switch operation requires
electricity supply; consequently, a long blackout period will lag the ON/OFF period that leads to the lamps being ON at daytime. This situation is common in cities with limited human and budget resources to maintain street lighting systems. A photocell switch with its ability to detect sunlight and storms could be beneficial in solving this problem. However, the photocell could also misinterpret cloudy weather and tree shadows as input signals and then cause the photocell to work inaccurately. Nevertheless, both control systems operate street light system at full capacity from late afternoon until early morning. The volume of road traffic varies overnight, which means the demand for street lighting systems also varies. Burgio and Menniti [17] argue that the international and also local standards for street lighting systems have been designed by considering several factors including traffic intensity. Therefore, reducing light intensity is possible in low traffic intensity to save the energy especially on peak load period. The government actually has realized this potential by issuing Minister Regulation [18] which regulates that street lighting should consume half of normal energy consumption at 24.00–05.30 except in case of rainy weather. This regulation, unfortunately, is not followed by further information related to the proper technology that could be used. Therefore, most of local governments ignore the regulation, while some local governments or highway operators respond the regulation by turning off one lamp between two lamps. Indonesia also has unmetered street lighting systems in which the electricity bill is fixed based on capacity contracts. These contracts are unfair because the calculation has marked-up the lamp load (VA) from its actual lamp load (W), as shown in Table 1. This mark-up is to account for electricity consumed by illegal street lighting systems installed by residents without reporting them to the local authority or the State-owned Electric Company (PLN). The mark-up policy is one of the contributors to transmission and distribution losses reduction as MEMR [19] reports the losses has been reduced from 11.65% in 2000 to 9.41% in 2011. However, fixed electricity bill becomes a disincentive for local governments to conserve energy on street lighting systems.
3. Energy efficiency actions on street lighting Energy efficiency actions for street lighting systems are grouped into four categories, as set out in Table 2. The first category is difficult to implement and adopt but is a low cost option that involves installing power meters to change fixed and markedup contracts. Power meter installation requires an investment for distribution cable, panels, circuit breakers and the costs associated with re-registering to PLN. However, PLN tends to reject the reregistration application without a commitment from the local government to solve the illegal street lighting problem. Local governments also maintain their argument by stating that illegal connection to the electricity grid is PLN's responsibility. Many local governments have experienced conflicts with PLN over this issue since then. An extreme example involves Bengkulu City government, which shut down all of its street lighting systems as a Table 1 Unmetered street lighting system tariff for gas discharge lamps. Actual lamp load Contracted lamp load 10–50 W 4 50–100 W 4 100–250 W 4 250–500 W Source: PLN [20]
100 VA 200 VA 500 VA 1000 VA
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protest against fixed contracts. Nonetheless, PLN still charged the Bengkulu City for electricity on the basis that the contract is fixed, regardless of whether the electricity is used or not. Replacing old lamps with new and highly efficient lamps is in the second category, easy to implement and adopt alongside being low cost. Actions in this category need less coordination or agreement with external parties and the investment return has less than twoyear payback period. Table 3 shows the cost comparison between a 125 W mercury vapor (MV) lamp and a 70 W extra output high pressure sodium (HPS) lamp with equivalent illumination level; that total operational cost of the MV lamp is 1.6 times more expensive than the HPS lamp. Another alternative is to replace an MV lamp with a 50 W compact fluorescent lamp (CFL), which still complies with the pedestrian illumination level set out in the National Standard/ SNI 7391:2008 [21], as seen in Table 4. Other actions on this category are individual lamp capacitor and electronic ballast. The capacitor will improve power factor that will reduce dissipated power losses on the electrical grid. Meanwhile, the electronic ballast potentially replaces magnetic ballast in order to reduce ballast energy losses. The Philips [22] company claimed their specifications of ballast require additional input power between 20 W (W)–100 W for magnetic ballasts and 6–38 W for electronic ballasts, depending on lamp rated power. In addition, Tridonic [23] company made a comparison on power loss on their control gears including the ballasts which losses is 10.7–10.8 W for electronic ballasts and 15–24 W for magnetic ballasts. Another action in this category is highly efficient reflector indicated by high light output ratio (LOR) value. High LOR armature could use lower rated wattage lamp without sacrificing illumination level. The third category is easy to implement and adopt but incurs high cost. It means that less coordination is required with other parties but investment return period will be longer than two years. One of the technologies in this category is dimming ballast, which reduces street lighting energy consumption during the dimming period [17,24]; Orzáez & Díaz, 2013. However, previous dimming technology has a fixed dimming level and does not take into consideration actual traffic and weather conditions. The alternative is an adaptive street lighting system called smart street lighting system that could dim the lamp based on either traffic intensity probability [25] or real time sensing [26,27]. The technology has been well accepted and its market will grow 24.9% a year especially in Asia Pacific and Europe [28]. Renewable energybased street lighting system is another technology in the third category. Nevertheless, the system could not compete with dimming ballast and smart street lighting system in terms of economic and technology feasibility. From economic feasibility perspective, investment of those all technologies is almost equal, which is around USD 600–700 per unit; on the contrary, the renewable energy-based street lighting system has higher operational cost for replacing battery valued USD 100 every two years or equivalent to USD 50 each year. In addition, dimming ballast technology also still incurs electricity cost, but it is only for USD 30.9 per year for a 100 W LED lamp by assuming 70% dimmed lamp for 6 hours a day and 5 W energy loss. Meanwhile, from technical feasibility
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Table 3 Cost of street light lamps. No
Parameter
MV
CFL
HPS
1 2 3 4
Power rate (W) Illumination (lm) Age 50% failure (hours) Power consumption (kWh/28,000 h) Electricity cost (USD) Lamp price (USD/unit) Lamp (units) Lamp cost (USD) Total cost (USD/28,000 h)
125 6,200 16,000 3,500
50 3,290 8,000 1,400
70 6,400 28,000 1,960
276.8 5.0 2 10 286.8
110.7 9.2 4 36.8 147.5
155.0 18.8 1 18.8 173.8
5( ¼ 4 x tariff) 6 7 8 (¼ 6 7) 9( ¼ 5þ 8)
Table 4 Illumination standard. Road classification
Illumination level (lux)
Pedestrian Local road –Primary –Secondary Collector road –Primary –Secondary Arterial road –Primary –Secondary Arterial road with access to highways Channel, flyover
1–4 2–5 2–5 3–7 3–7 11–20 11–20 15–20 20–25
Source: BSN [21].
perspective, many solar energy-based street lighting system projects, either on highway operator or government projects, have failed to show their advantages, since mostly all of them only have lifetime less than one year or even, on the worst case, poor lumen maintenance. If the later case happens, the project owner could not claim replacement guarantee because the lamp is still on, although the light is very less bright. The last category involves both difficult to implement and adopt and high cost actions in which one of the actions is establishing capacitor bank technology. As an individual capacitor, the function of the capacitor bank is also to improve power factor of street lighting system. Low power factor will raise electricity current that produces higher power dissipation or heat losses on the cable. Even though installing a capacitor bank needs less coordination with other parties, a special energy audit is needed to determine the capacitor value and to decide on the placement of the capacitor cabinet. The investment cost of the capacitor is high, while the economic return varies based on the load capacity and power factor correction.
4. Methodology and data Table 2 Category of energy efficiency actions.
Easy to implement and adopt
Low cost
High cost
High
Renewable
Difficult to implement and adopt
efficiency lamps Individual lamp capacitor Electronic ballast Power meter
energy-based street lighting system Dimming ballast
Smart street lighting system Capacitor bank
Estimating national energy efficiency benefits needs to calculate actual energy consumption on street lighting systems. The existing electricity consumption (E0) is the sum of the energy consumption on unmetered street lighting systems (E0u) and the energy consumption on metered street lighting systems (E0m); thus, the formula is: E0 ¼ E0u þ E0m
ð1Þ
PLN uses the power category for i lamps (PCi) on Table 1 and a 12.5 working hours a day value for 365 days a year to determine
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E0u: E0u ¼
MI. al Irsyad, R. Nepal / Renewable and Sustainable Energy Reviews 58 (2016) 1569–1577
X
ðPC i x unmetered lamp si Þx12:5x365
ð2Þ
then utilizes a power meter measurement to determine E0m. Local governments usually set time switch for 12 working hours a day. For i lamp power (LPi) and an addition of 50 W electricity consumption, the assumption for other street lighting equipment, such as the ballast, igniter and capacitor, E0m will be: X ð½LP i þ 50x metered lamp si Þx12x365 ð3Þ E0m ¼ The first and main action to conserve energy is to install power meters for unmetered street lighting systems. Even though the actual electricity consumption is unaffected, this strategy reduces the electricity bill (E1) by changing the mark-up and fixed contract (E0m) into actual measurement (E1u) on unmetered street lighting systems. E1 ¼ E1u þ E1m E1u ¼
X
ð4Þ
ð½LP i þ 50x unmetered lamp si Þx12x365
E1m ¼ E0m
ð5Þ ð6Þ
Local governments could then use their electricity bill savings to replace inefficient lamps and other equipment. Light emitting diodes (LED), induction and extra output HPS lamps with a one level lower lamp power (LLP) rate could be advantageous to replace existing MV and conventional HPS lamps, as shown in Table 5. Furthermore, electronic ballast utilization potentially lowers the electricity consumption of magnetic ballast into 10 W. Electricity consumption from lamp and equipment replacements is E2. E2 ¼ E2u þ E2m E2u ¼ E2m ¼
X
ð7Þ
ð½LLP i þ 10x unmetered lamp si Þx12x365
X
ð½LLP i þ10x metered lamp si Þx12x365
ð8Þ ð9Þ
Dimming ability on smart street lighting systems could further reduce electricity consumption into E3. Street lighting systems will work at their rated power for 6 h a day at 18.00–24.00, while at 00.00–05.30 the systems only work at 50% of their rated power. This scheme is based on regulation [18], although the dimming scheme ideally should be different for each city. The effectiveness and the safety of dimming scenario will be evaluated by pilot project performance for smart street lighting in Jakarta that has been installed since 2012. E3 ¼ E3u þ E3m E3u ¼
X
ð10Þ
ð½LLP i þ 10x unmetered lampsi Þx 365 x ð6 þ ½5:5 x 0:5 ð11Þ
E3m ¼
X
ð½LLP i þ 10 x metered lamp si Þx 365 x ð6 þ ½5:5 x 0:5Þ ð12Þ
Generally, local government has poor data on the number and type of street light lamps. During broken lamp replacement, changes of lamp rated power and type are unrecorded, so obtaining the data from local government is impossible. To Table 5 Lamp replacement scenario. Old, inefficient lamp power (W)
New, efficient lamp power (W)
400 250 150–125
250 125 70
Table 6 Survey condition. City
Street lighting systems (Systems)
Sampled systems (Systems)
Surveyed lamps (Units)
Bandung Bengkulu Surakarta Total
862 192 604 1658
35 26 95 156
653 517 3081 4251
estimate the number of each type of street light lamp, this research conducted a sampling survey of street lighting systems in three cities in 2013; those are Bengkulu, Bandung, and Surakarta. Different survey constraints, such as weather and budget, resulted in different sampling numbers, as shown in Table 6. Hence, our methodology (see Fig. 1) differs from earlier studies like Becker et al. [3] and Chan et al. [29] since we emphasize on national benefit calculations and detailing on the energy audit process. Electricity bill analysis is needed to classify the bill for each system from the lowest to the highest bill in order to determine sampling locations. The analysis is also to check whether PLN has used correct tariff and accurately reported the electricity consumption. This research conducts power quality measurement such as voltages, electrical currents, power factors, and electricity power on the sampling location. The purpose of the measurement is to obtain actual daily energy consumption and also to observe physical condition of the systems. On site power measurements are then compared to electricity bill to calculate the deviation and to analyze its causes. The average deviation is then used as a deviation reference for other unmeasured systems. By identifying its actual energy consumption, this study could estimate actual energy saving achieved from the energy efficiency actions. Those actions and energy saving are then further analyzed by using total life cycle cost (TLCC) to obtain detailed calculation of the costs and the benefits.
5. Results In metered street lighting systems, the energy audit concludes that the electricity consumptions in the 2 cities are overcharged by the PLN. Fig. 2 shows that the surveyed systems in Bandung and Surakarta cities have been charged for 145 kW and 750 kW respectively while the direct measurement in the energy audit shows the consumptions are 97 kW and 645 kW. The charged electricity consumption has been converted from monthly into moment consumption in the comparison process. The difference between charged and actual consumptions is mostly caused by that the PLN never read the power meter monthly in order to reduce the labor cost. The PLN does the meter reading but in long interval period and then forecast the consumption between the intervals. One possible solution to this problem is to use smart street lighting system. It will need new investment cost but it give additional benefit too. The PLN could use the technology to reduce electricity consumption in street light system immediately if there is a capacity deficit to serve peak load. The results of the survey, as set out in Fig. 3, show that the majority of street lighting systems in Bandung, Surakarta, and Bengkulu are 250 W HPS lamps. These lamps have the highest average lamp distribution of 41%, while the 400 W HPS lamps are in the second place with 29%. Meanwhile, to estimate the number of the lamps requires an analysis of the installed capacity of both unmetered and metered street lighting systems. Our analysis of the electricity bill for Bandung’s street lighting shows that the bill for the unmetered systems reached 70% of the
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Start
Electricity bill analysis
Determining survey location
Identifying problems on electricity bill
Measuring actual energy consumption
Analyzing energy and cost saving potential for all systems
Analyzing energy and cost saving potency for sampled systems
End
Fig. 1. Research methodology.
750
645
Charged consumption (kW) Measured consumption (kW)
145
97
64
63
Fig. 2. Comparison between charged and measured power consumptions.
Fig. 4. Comparison between metered and unmetered street lighting systems. Table 7 Total lamp estimation.
Unmetered lamps Metered lamps Lamp total (units)
Fig. 3. Lamp rated power distribution.
total bill, even though the load capacity of the unmetered and metered systems is almost equal, as shown in Fig. 4. It is an actual illustration of unmetered system problem discussed before. Fig. 4 also shows that the average capacity of the unmetered systems in the three cities is 59% of the total capacity of street lighting systems. By assuming this average as the national average, the capacity of unmetered street lighting systems will be 510.6 MVA. Number of unmetered street lighting lamp could be estimated from the estimated capacity of unmetered system, power category (PC) in Table 1 and lamp power distribution in Fig. 3: X ðPC i x unmetered lamp si Þ Installed capacity0u ¼ Installed capacity0u ¼
X PC i x average lampsi distribution x total unmetered lamps
Totalunmeteredlamps ¼ P
ðPC i
Installedcapacity0u xaverage lampsi distributionÞ
Total unmetered lamps ¼
510:6 MVA ¼ 794; 010 units ð1000 VAx29%Þ þ ð500 VAx41%Þ þ ð500 VAx17%Þ þ ð500 VAx13%Þ
while the estimation of number of the metered street lighting lamp uses the estimated metered capacity 354.8 MVA, or 41% of the national street lighting capacity, and lamp power distribution
4400 W 250 W
150 W
o 125 W Lamp total (units)
227,127
327,429
135,417
104,038
327,947 555,074
472,772 195,528 150,219 800,201 330,944 254,257
in Fig. 3: Installed capacity0m ¼
X
794,010 1,146,466 1,940,476
ð½LP i þ 50x metered lamp si Þ
Installed capacity0m ¼
X
ð½LP i þ 50x average lamp si distribution x total metered lampsÞ
Total metered lamps ¼
354:8 MVA ð450 Wx29%Þ þ ð300 Wx41%Þþ ð200 Wx17%Þþ ð175 Wx13%Þ
¼ 1; 146; 466 units
The average lamp distribution in Fig. 3 multiplied by our estimation of the total lamp amount will result in an estimation of the lamp amount for each rated power, as shown in Table 7. Based on Table 7, power meter installation set into all unmetered street lighting systems will correct the reported capacity from 510.6 MVA (E0u) to 245.7 MVA (E1u). The power meter also solves two other problems found in the survey related to bill calculation transparency. The first problem relates to overcharged energy consumption (W), where the maximum energy consumption should be limited by the contracted lamp load (VA). For example, as shown in Table 1, a mercury 125 W lamp cannot be charged for 550 VA because its contracted lamp load is 500 VA. This overcharged consumption has been found in Surakarta City, as shown by negative balance between contracted capacity (VA) and charged consumption (W) in Fig. 5. The second problem,
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overcharged tariff rates, occurred in Bandung City. The regulated electricity tariff for street lighting systems was USD 7.53c/kWh [30], but some of Bandung’s street lighting systems were charged at the rate of USD 4.17/kWh. Based on Eq. (4) and Table 7, power meter installation will correct energy consumption report from 3140.8 GWh/year to 2,630.3 GWh/year. Local governments already enjoy the benefits of the correction that is equivalent to 16% bill reduction, even actual energy consumption is unchanged. Lamp replacement will reduce the actual consumption by 58% by following scheme shown at Table 5 and Eq. (7). Additionally, the dimming feature in smart street lighting systems will optimize the reduction to 68%, as shown in Fig. 6. Meanwhile, the benefit of smart street lighting technology depends onto what extent the lamp wattage could be dimmed; it means larger lamp wattage is more feasible to be used by smart lighting systems. This research limits the feasible lamps set in smart street lighting systems, that is, only new lamps with minimum wattage of 125 W can be utilized. The dimming scenario should be evaluated its effectiveness and safety by considering the performance of pilot project for smart street lighting systems in Kebon Sirih (secondary arterial) road, Central Jakarta. Table 8 shows that the replacement 250 W HPS lamp with 150 W lamps has reduced electricity consumption for 38%. The lux meter measures that the illumination level has been 20000 15000
Surakarta City
Bandung CIty
10000 5000 0
Systems
-5000
Fig. 5. VA-W on unmetered street lighting systems.
3,140.8 GWh/year
2,630.3
1,310.3 1,011.0
Exisng mark-up electricity consumpon (E0)
Actual electricity consumpon if 100% meter installed (E1)
Electricity consumpon if inefficient lamp replaced (E2)
Electricity consumpon if smart street lighng system applied (E3)
Fig. 6. Energy saving potential for Indonesia’s street lighting systems.
reduced from 31 lx into 20 lx and 16 lx for new induction and LED lamps respectively. Both lamps’ outputs are still within the illumination requirement in Table 4. Because the new lamps have white (5000 °C) color temperature, the new illumination level measured by the lux meter should be multiplied by 1.96 to compare it with yellow color temperature lamps. As a result, the adjusted new illumination level is higher than previous level. By this measurement adjustment, dimming trial for 50% rated power is also satisfying the minimum level of illumination level in Table 4.
6. Costs and benefits of energy efficiency for street lighting Economic growth and regional development have resulted in the growth of street lighting systems. In 2012, there were 143,348 systems with most of these being distributed in Java [1]. Unfortunately, the high number of systems brings challenges. The first is in terms of economic cost. Electricity consumption of 3 TWh had already cost local governments USD 210 million. The central government also provided an electricity subsidy of USD 68.9 million in 2012 only for street lighting systems. In Fig. 6, the estimation derived from this analysis is an energy consumption reduction potential of 68% that is equivalent to 2.1 TWh, or USD 177.4 million in 2012. The highest energy efficiency potential is concentrated on provinces in the Java Island and North Sumatera that have been well known for their biggest cities in Indonesia such as Jakarta, Surabaya, Bandung, Semarang, Yogyakarta and Medan as in Fig. 7. Energy efficiency on street lighting systems would also potentially cut the electricity subsidy to USD 46.8 million as indicated in Fig. 8. In contrast to electricity consumption reduction, no electricity subsidy has been cut for street lighting systems in Java and Bali Islands, since the electricity supply is produced from coal-based power plant which has low production cost. On the other hand, the central government will enjoy the benefit of the energy subsidy reduction in provinces outside Java and Bali Islands, which are still supplied by electricity produced from oil-based power plants. Other exceptions are for Batam and Tarakan which have non subsidized electricity tariff, for West Sumatera which has abundant hydro power, and for South Sumatera – Jambi – Bengkulu which have coal-based power plant and also hydro power which could compensate oil-based power plants in small interconnection systems in the regions. Another benefit of energy efficiency on street lighting systems is to support greenhouse gas (GHG) reduction targets. By using the average emission factor of national grid of 0.762 kg CO2e/kWh, it can be estimated that street lighting systems have released emissions of at least 2.4 million tons of CO2e each year. Achieving the energy reduction potential will result in a GHG reduction of 1.6 million tons of CO2e each year, or 9.8 million tons of CO2e for the period 2015–2020. The average annual emission reduction for 514 cities and regencies is 3,113 t CO2e/ cities as a comparison to
Table 8 Performance of smart street lighting pilot project in Jakarta. No
Description
Color temperature
Period (hours)
Electricity saving (%)
Illumination level (lux)
1 2
250 W HPS lamps (old lamp) No Dimming -150 W induction lamps -150 W LED lamps Dimming 50% -150 W induction lamps -150 W LED lamps
Yellow White (5000 °K)
12 12
0 38
31 20 16
White (5000 °K)
4,5
53-56
13 8
3
Note: The above measurements were conducted from 4 January 2013 to 1 March 2013. For equivalent consideration, the measured illumination level for 5000 °K color temperature should be multiplied by 1.96, the scotopic/photopic ratio [31].
MI. al Irsyad, R. Nepal / Renewable and Sustainable Energy Reviews 58 (2016) 1569–1577
Michaelowa et al. [16] obtaining 8,571 t CO2e/ cities based on 7 cities in Java Island. This benefit equates to 30% of the 32.8 million ton CO2e emission reduction target for the energy sector set by Presidential Decree 61/2011 about the National Action Plan on Greenhouse Gases Emission Reduction [32]. Investment costs needed are divided into 3 strategy costs, which are power meter installment, lamp replacement and smart street lighting technology as shown in Table 8. SNI 7391:2008 regulates standard distance between two lamps, which is 20–60 m depending on road type. By using assumption on average distance, which is 50 m with 12 m additional cables for sag and other connection tolerances, power meter installments require 600.0
Energy Saving (GWh/ year) Energy Consumption after Efficiency (GWh/year)
GWh
500.0 400.0
300.0 200.0 Aceh North Sumatera West Sumatera Riau South Sumatera, Jambi… Bangka Belitung Lampung West Kalimantan South and Central… East Kalimantan Gorontalo, North &… South, North-West, &… Maluku & North Maluku Papua Bali NTB NTT Batam Tarakan East Java Cetral Java & Jogya West Java & Banten DKI Jakarta & Tangerang
100.0 -
Fig. 7. Energy saving potential for street lighting systems. 25,000,000
USD
20,000,000
Electricity Subsidy Saving Electricity Subsidy after Efficiency
15,000,000 10,000,000
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41,288 km new cables for 794,010 unmetered lamps. The next assumption is to assure system stability, which determines that each system only serves 30 lamps. Therefore, power meter installments need 26,476 new panel boxes in which each of them consists of miniature circuit breaker (MCB), time switches and main fuse. Another cost needed is re-register cost for unmetered systems to become metered systems, with actual power capacity estimation is 245.7 MVA. By comparing the benefits of smart street lighting technology on Figure 6, USD 127 million investment cost for power meter installment will be returned in 3 years.. Table 9 shows lamp replacement can be realized through 2 options: complete luminaire replacement by using LED lamps or replacement for lamp bulb having same cap base by using highefficiency lamps such as extra output HPS lamps. Replacement scheme by inserting scenario in Table 5 into Table 7 shows that 555,074 units of 400 W old lamps need to be replaced by 250 W new highly efficient lamps; 800,201 units of 250 W old lamps need to be replaced by 150/125 W new highly efficient lamps, and; 585,201 units of 150 W or lower old lamps need to be replaced by 70 W extra output HPS lamps. Replacing extra output HPS lamp bulb and electronic ballast is cheaper rather than replacing completed LED luminaire with new housing. The investment on extra output HPS lamp bulb and electronic ballast reaches USD 169 million, but it will be returned in 1.5 years. Smart street lighting technology consists of a central controller for 250 lamps and an individual lamp controller for each lamp as on Table 9. The number of new lamps with minimum wattage of 125 W reaches 1,355,275 units, which are derived from 555,074 units of 250 W new lamps and 800,201 units of 150/125 W new lamps as on Table 9.Those lamps require 5,421 units of central controller. As a note, the costs for investment as mentioned in Table 9 have already included installation costs. Then, the costs and benefits for each strategy can be summarized in Table 10.
-
Aceh North Sumatera West Sumatera Riau South Sumatera, Jambi &… Bangka Belitung Lampung West Kalimantan South and Central… East Kalimantan Gorontalo, North &… South, North-West, &… Maluku & North Maluku Papua Bali NTB NTT Batam Tarakan East Java Cetral Java & Jogya West Java & Banten DKI Jakarta & Tangerang
5,000,000
Fig. 8. Electricity subsidy saving potential for street lighting systems.
7. Conclusions and policy implications Street lighting systems are critical to the economic performance of the Indonesian economy. These systems support nighttime economic activity and also encourage new settlements. This study has shown that the investment for electricity conservation in street lighting will be returned on 2.9 years on average, although local governments seem to have objection, due to limited
Table 9 Investment cost for energy efficiency. Strategy Power meter installment -Cables -Panel Box -MCB -Time switches -Re-register cost -Main fuse (ceramics) -Lamp replacement -Completed luminaire LED 250 W -Completed luminaire LED 125 W -Extra output HPS/induction lamp 250 W -Extra output HPS/induction lamp 150 W -Extra output HPS/ induction lamp 70 W -Dimmable electronic ballast 250 W Dimmable electronic ballast 150 W -Electronic ballast 70 W -Smart Street Lighting Systems -Segment controller -Lamp controller Total Cost
Cost Unit
Unit Amount
$2.3/ m $ 416.7/unit $5.8/unit $29.2/unit $0.1/VA $5.8/unit
41,288,520 26,467 26,467 26,467 245,700,000 26,467
$808.3/unit $683.3/unit $40.4/unit $37.1/unit $29.2/unit $55.8/unit $48.8/unit $51.6/unit
555,074 800,201 555,074 800,201 585,201 555,074 800,201 585,201
$5,000.0/unit $144.3/unit
5,421 1,355,275
Costs for LED Scenario ($)
Costs for Extra Output HPS Scenario ($)
127,162,682.5 96,339,880.0 11,027,916.7 154,390.8 771,954.2 18,714,150.0 154,390.8 995,488,833.3 448,684,816.7 546,804,016.7
127,162,682.5 96,339,880.0 11,027,916.7 154,390.8 771,954.2 18,714,150.0 154,390.8 169,318,516.3
222,603,918.8 27,105,500.0 195,498,418.8 1,345,255,434.6
22,434,240.8 29,674,120.4 17,068,362.5 30,945,375.5 39,009,798.8 30,186,618.3 222,603,918.8 27,105,500.0 195,498,418.8 519,085,117.5
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Table 10 Cost and benefit of energy efficiency on street lighting systems. Strategy
Benefit (USD) Cost (USD)
Rate of return (years)
Power meter installment Lamp replacement Smart Street Lighting Systems Total
42,414,913 109,668,190 25,827,211
127,162,682.5 3.0 169,318,516.3 1.5 222,603,918.8 8.6
177,910,314
519,085,117.5
2.9
budgets for metering and conserving energy on street lighting. The Energy Service Company (ESCO) should fill this financial gap by expanding their service-to-government sector. Unfortunately, goods and services procurement regulations for government do not take into account the ESCO scheme. Therefore, all ESCO contracts for street lighting systems have experienced problems with the Supreme Audit Agency (BPK). ESCO has proven its effectiveness in the case of Pasuruan local government which successfully reduced its electricity bill for street lighting systems from USD 200,000 per month to USD 108,000. However, the Supreme Audit Agency questioned the interest element in the installment contract because the law prohibits the government from having a debt owed to a private sector. In contrast with the Pasuruan local government which selected ESCO through an open tender, Pati local government selected ESCO through direct cooperation. Due to this decision, the Supreme Audit Agency asked for a calculation of the basis used for the electricity saving share between the local government and ESCO. In 2007, the government, through Government regulation 50/2007 [33], prohibited direct selection for local government cooperation scheme. Meanwhile, local government cooperation projects are usually followed by construct infrastructure that provides income rather than saves expenditure. Hence, local governments are still doubtful about using ESCO’s services to operate and maintain their street lighting systems. The alternative is conducting cooperation between local government and PLN, whereby PLN with ESCO help, will conserve energy but the monthly electricity bill will be unchanged until the investment cost is returned. This scheme will simplify power meter installment procedure which is truly on PLN’s responsibility. In addition, investment repayment will also be a part of PLN services. Considering the position of PLN as a state owned company (BUMN) which must obey tender procurement on local government cooperation scheme as stated on Government Decree 50/ 2007 [33], therefore, Ministry of Energy and Mineral Resources together with Ministry of Domestic Affairs should release new regulation to directly appoint PLN as a super ESCO which will act as the executor of energy efficiency actions on street lighting systems, since according to Law 30/2009 [34] about Electricity Power, PLN has the priority to conduct electricity supply business in Indonesia As another alternative, local governments could use one year performance-based contracts to conserve energy, with the payment level depending on performance achievement. This alternative also requires legalizing the illegal street lighting systems. This scheme follows common public procurement and as a consequence, local government should allocate all investment costs needed. For their funding, local governments could borrow from the Government Investment Center – Ministry of Finance [15]. The weakness of this scheme is that local government should maintain the street lighting systems after the completion of the contract. Whereas, generally local government has several constraints related to limited human resources in both numbers and quality. Therefore, this scheme gives less assurance to keep efficient energy consumption after contract guarantee period ends.
It should be noted that the estimated benefits, yet, still do not count for rebound effect that could be simply defined as an increase of energy consumption in macro level because of energy efficiency in micro level. The logic is energy efficiency results lower energy costs, causing more demand on energy. Developing countries such as Indonesia tend to have higher rebound effect than developed countries [35]. Some measures have been suggested to anticipate the rebound effect, such as energy tax, environment tax [36], and energy subsidy reduction [37]. Those measures are only to increase energy prices as a compensation of relatively lower energy costs; therefore, the measures are not politically suitable for Indonesia whose mission is to provide affordable energy price and to increase public infrastructure. The measures also become disincentives for energy efficiency investment because the investment payback period will be deteriorated by the increased price. It is more likely to say ‘please improve your energy efficiency then you will be awarded a new additional tax’. Rebound effect anticipation, at least for street lighting systems, is to limit its light supply until minimum illumination standard on Table 4 is reached.
Acknowledgment The first author acknowledges funding supports from the Indonesia Endowment Fund for Education (LPDP), Ministry of Finance – The Republic of Indonesia (Grant no: 20141122092191). We also acknowledge the comments from the editor and the referee for guiding the improvements in the paper. All usual disclaimers apply.
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