Hitachi ABB Power Grids’ local subsidiary PT ABB Power Grids Indonesia has successfully deployed the first microgrid solution in Indonesia to ensure a continuous power supply for off-grid coal mining operations at Indo Tambangraya Megah (ITM)-owned Indominco Mandiri (IMM) in Bontang, East Kalimantan. Hitachi ABB Power Grids was formed in 2020 and is held 80.1% by Hitachi and 19.9% by ABB with Hitachi planning to increase its stake to 100% in 2023.
The largest of its kind in Indonesia, this microgrid harnesses solar power to help reduce ITM’s carbon footprint – a key milestone in their commitment to reduce carbon emission, while reducing operational cost.
In operation since 2019, the project has successfully integrated solar generation into the network, stabilising and improving energy efficiency for the customer with e-meshTM grid edge solutions portfolio, including the PowerStoreTM Battery Energy Storage System (BESS) and advanced controls. The system is expected to produce 230 MWh from solar PV annually, resulting in 192 t of CO2 reduction.
IMM is a large-scale mining operation in Bontang, East Kalimantan with more than 600 employees and produces approximately 12.5 Mt of coal each year. For energy-intensive industries like mining, declining costs for renewable generation and energy storage are attractive options, but secure and reliable power is critical to operations. Grid edge solutions unlock the potential to improve the environmental footprint, reduce energy costs and improve power quality.
“Making manifest our long-term business diversification plan for a sustainable business, in 2019, we initiated the 3 MWp, 2MW/2MWh solar hybrid plant project for own use in Bontang,” said Kirana Limpaphayom, Chief Executive Officer of Banpu Power PLC (BPP), a listed company in Thailand, and in the same Banpu Group with ITM.
Additionally, Mulianto, the current ITM’s President Director said, “We are excited to see it operating fully in 2020, and should it achieve the expected performance, we are looking forward to replicating such project in our other locations. As a responsible company, ITM wants to promote energy conservation as part of our commitment to minimize environmental impacts and bring a better life in the area where we operate and also to our surrounding communities.”
“Hitachi ABB Power Grids is proud to partner with ITM in their goal to achieve industry-leading sustainable operations. Remote locations like Bontang, East Kalimantan are rich in renewable energy sources, but their intermittent nature makes integration into the power grid a challenge,” said Massimo Danieli, Managing Director, Grid Automation at Hitachi ABB Power Grids. “This project shows how the successful integration of solar PV with PowerStore dramatically reduces fuel consumption and carbon emissions to drive energy efficiency and sustainable growth.”
“We are honoured of the confidence placed by ITM towards our company and proud to contribute to ITM‘s sustainable development goals,” said Michel Burtin, President Director of PT ABB Power Grids Indonesia. “Our advanced microgrid solutions, part of our Grid Edge Solutions portfolio, integrating solar PV and batteries into the existing Power installed base, has not only been able to enhance power quality and operational costs but also has allowed to move to a more sustainable produced electricity, reducing significantly the carbon footprint,” said Michel Burtin, President Director PT ABB Power Grids Indonesia.
Advanced Controls also help maximise system performance for IMM. The Hitachi ABB Power Grids e-meshTM solution ensures stable, coordinated operation of the new PowerStoreTM BESS and solar PV with existing power plants. During the day, the BESS smooths out fluctuations from the renewable generation. Operations are improved both night and day by using load sharing to ensure efficient operation of the gensets. It also supports network frequency, providing stability to strengthen and improve mining operations. The PowerStore, in addition to constantly monitoring power operations for issues, quickly dispatches the BESS when it’s needed to protect Bontang’e electrical network.
