The 2010 United Nations Climate Change Conference was held in Cancún, Mexico, from 29 November to 10 December 2010. The conference is officially referred to as the 16th session of the Conference of the Parties(COP 16) to the United Nations Framework Convention on Climate Change (UNFCCC) and the 6th session of the Conference of the Parties serving as the meeting of the Parties (CMP 6) to the Kyoto Protocol.
In addition, the two permanent subsidiary bodies of the UNFCCC — the
Subsidiary Body for Scientific and Technological Advice (SBSTA) and the
Subsidiary Body for Implementation (SBI) — held their 33rd sessions. The
2009 United Nations Climate Change Conference
extended the mandates of the two temporary subsidiary bodies, the Ad
Hoc Working Group on Further Commitments for Annex I Parties under the
Kyoto Protocol (AWG-KP) and the Ad Hoc Working Group on Long-term
Cooperative Action under the Convention (AWG-LCA), and they met as well.
Background
Following the non-binding Copenhagen Accord put forth in 2009, international expectations for the COP16 conference were reduced.
Four preparatory rounds of negotiations (i.e. sessions of the AWG-KP
and the AWG-LCA) were held during 2010. The first three of these were in
Bonn, Germany,
from 9 to 11 April, 1 to 11 June (in conjunction with the 32nd sessions
of SBSTA and SBI), and 2 to 6 August. The Bonn talks were reported as
ending in failure. The fourth round of talks in Tianjin, China, made minimal progress and was marked by a clash between the US and China. The Ambo declaration was adopted at the Tarawa Climate Change Conference on 10 November 2010 by Australia, Brazil, China, Cuba, Fiji, Japan, Kiribati, Maldives, Marshall Islands, New Zealand, Solomon Islands and Tonga. It calls for more and immediate action, and was slated to be presented at COP 16.
Expectations
Secretary-General of the United Nations, Ban Ki-moon addresses the hall
In August 2010, Ban Ki-moon
stated that he doubted whether member states would reach a "globally
agreed, comprehensive deal," suggesting instead that incremental steps
might come.
After the Tianjin talks in October Christiana Figueres, executive secretary of the UN Framework Convention on Climate Change (UNFCCC), said, "This
week has got us closer to a structured set of decisions that can be
agreed in Cancun ... This is the greatest societal and economic
transformation that the world has ever seen."
Other commentators spoke of a positive spirit of negotiation and of paving the way for agreement in Cancun.
Outcome
The outcome of the summit was an agreement adopted by the states' parties that called for a large "Green Climate Fund", and a "Climate Technology Centre" and network. It looked forward to a second commitment period for the Kyoto Protocol.
The agreement recognizes that climate change represents an urgent
and potentially irreversible threat to human societies and the planet,
which needs to be urgently addressed by all parties. It affirms that
climate change is one of the greatest challenges of our time and that
all parties must share a vision for long-term cooperative action in
order to achieve the objective of the Convention, including the
achievement of a global goal. It recognizes that warming of the climate
system is scientifically verified and that most of the observed increase
in global average temperatures since the mid twentieth century are very
likely due to the observed increase in anthropogenic greenhouse gas
concentrations, as assessed by the IPCC in its Fourth Assessment Report.
The agreement further recognizes that deep cuts in global
greenhouse gas emissions are required, with a view to reducing global
greenhouse gas emissions so as to hold the increase in global average
temperature below 2 °C above pre-industrial levels, and that parties
should take urgent action to meet this long-term goal, consistent with
science and on the basis of equity; and recognizes the need to consider,
in the context of the first review, strengthening in relation to a
global average temperature rise of 1.5 °C. The agreement also notes that
addressing climate change requires a paradigm shift towards building a low-carbon society.
The agreement calls on rich countries to reduce their greenhouse gas emissions as pledged in the Copenhagen Accord, and for developing countries to plan to reduce their emissions.
A 40-nation "transition committee" was to meet by the end of
March 2011, but it was deferred until late April amid squabbles among
Latin American countries and the Asia bloc about who should be on the
committee. The committee is due to present a complete plan for the fund
by the next climate conference in South Africa starting in November, 2011.
Adaptation
The
conference established the Cancun Adaptation Framework and the
Adaptation Committee, and it invited Parties to strengthen and, where
necessary, establish regional adaptation centres and networks.
Mitigation
Developed countries should submit annual greenhouse gas inventories and inventory reports
and biennial reports on their progress.
It agrees that developing country parties will take nationally
appropriate mitigation actions in the context of sustainable
development, supported and enabled by technology, financing and
capacity-building, aimed at achieving a deviation in emissions relative
to "business as usual" emissions in 2020. It decides to set up a registry to record Nationally Appropriate Mitigation Actions
seeking international support and to facilitate matching of finance,
technology and capacity-building support to these actions. Once support
has been provided they are called internationally supported mitigation actions (ISMAs), that will be subject to international measurement, reporting and verification.
Finance
It
takes note of the collective commitment by developed countries to
provide new and additional resources, including forestry and investments
through international institutions, approaching US$30 billion for the
period 2010–-2012 and recognizes that developed country parties commit,
in the context of meaningful mitigation actions and transparency on
implementation, to a goal of mobilizing jointly US$100 billion per year
by 2020 to address the needs of developing countries.
It decides to establish a Green Climate Fund, to be designated as an operating entity of the financial mechanism
of the Convention. Also decides that the Fund shall be governed by a
board of 24 members; the trustee shall administer the assets of the
Green Climate Fund only for the purpose of, and in accordance with, the
relevant decisions of the Green Climate Fund Board.
The conference establishes a Standing Committee under the
Conference of the Parties to assist the Conference of the Parties in
exercising its functions with respect to the financial mechanism
Technology
In technology development and transfer, decides to establish a Technology Mechanism, which will consist of a Technology Executive Committee and a Climate Technology Centre
and Network. The Climate Technology Centre and Network and the
Technology Executive Committee shall relate so as to promote coherence
and synergy. The Technology Executive Committee shall further implement
the framework of the Convention (technology transfer framework)
and Committee shall comprise 20 expert members. The Climate Technology
Centre shall facilitate a Network of national, regional, sectoral and
international technology networks, organizations and initiatives
Capacity-building
It reaffirms that capacity-building
is essential to enable developing country parties to participate fully
in addressing the climate change challenges, and to implement
effectively their commitments under the Convention.
Kyoto Protocol
The
Outcome of the work of the Ad Hoc Working Group on Further Commitments
for Annex I Parties under the Kyoto Protocol at its fifteenth session:
Recognizes that the contribution of Working Group III to the Fourth Assessment Report of the IPCC,
to achieving the lowest levels would require Annex I Parties as a group
to reduce emissions in a range of 25-40 per cent below 1990 levels by
2020 (close to the 51% reduction in a low-carbon society).
Urges Annex I Parties to raise the level of ambition of the emission reductions to be achieved.
In the second commitment period, the base year shall be 1990.
The
agreement includes a "Green Climate Fund," proposed to be worth $100
billion a year by 2020, to assist poorer countries in financing emission
reductions and adaptation.
There was no agreement on how to extend the Kyoto Protocol, or how the
$100 billion a year for the Green Climate Fund will be raised, or
whether developing countries should have binding emissions reductions or whether rich countries would have to reduce emissions first.
Reuters Environment Correspondent Alister Doyle reported that to most
delegates, though they approved it, the agreement "fell woefully short
of action needed."
The New York Times described the agreement as being both a
"major step forward" given that international negotiations had
stumbled in recent years, and as being "fairly modest" as it did not
require the changes that scientists say are needed to avoid dangerous climate change. John Vidal, writing in The Guardian,
criticised the Cancun agreements for not providing leadership, for not
specifying how the proposed climate fund will be financed, and for not
stating that countries had to "peak" their emissions within 10 years and
then rapidly reduce them for there to be any chance to avert warming.
Also criticised were the deferral of decisions on the legal form of and
level of emission reductions required.
Professor Kevin Anderson described the Cancun accord as "astrology" and
stated that the science was suggesting a 4 °C rise in global mean
temperature, possibly as early as the 2060s.
Ignasius Jonan, Indonesian Minister of Energy and Mineral Resources
Energy in Indonesia describes energy and electricity production, consumption, import and export in Indonesia. In 2009 Indonesia produced oil, coal, natural gas and palm oil, utilised also as energy raw material in 2010. Renewable energy potential in Indonesia is high: solar, wind, hydro and geothermal energy. Tropical rain forests and peat land areas have extensive coal storage. Indonesia is a geologically unstable country.
According to IEA
Indonesia was the 10th top natural gas producer in 2009: 76 billion
cubics (bcm) 2.5% of world production of which 36 bcm was exported. In
2009 Indonesia was the 5th top coal producer: 263 million tonnes hard
coal and 38 million tonnes brown. The majority of this, 230 Mt of hard
coal, was exported.
Indonesia has significant energy resources, starting with oil – it has
22 billion barrels of conventional oil and gas reserves, of which about 4
billion are recoverable. That's the equivalent of about 10 years of oil
production and 50 years of gas. It has about 8 billion barrels of
oil-equivalent of coal-based methane (CBM) resources. It has 28 billion
tonnes of recoverable coal and has 28 gigawatts (GW) of geothermal
potential.
According to IEA energy production increased 34% and export 76% from 2004 to 2008 in Indonesia.
Energy by sources
Fossil Fuel Energy Sources
Coal
Indonesia is well-supplied with medium and low-quality thermal coal.
At current rates of production, Indonesia's coal reserves are expected
to last for over 80 years. In 2009 Indonesia was the world's second top
coal exporter sending coal to, for example, China, India, Japan and
Italy. Kalimantan (Borneo) and South Sumatra
are the centres of Indonesia’s coal mining. In recent years, production
in Indonesia has been rising rapidly, from just over 200 mill tons in
2007 to over 400 mill tons in 2013. Recently (December 2013), the chair
of the Indonesian Coal Mining Association said the production in 2014 may reach 450 mill tons.
The Indonesian coal industry is rather fragmented. Output is
supplied by a few large producers and a large number of small firms.
Large firms in the industry include the following:
PT Bumi Resources (the controlling shareholder of large coal firms PT Kaltim Prima Coal and PT Arutmin Indonesia)
Coal production poses risks for deforestation in Kalimantan.
According to one Greenpeace report, a coal plant in Indonesia has
decreased the fishing catches and increased the respiratory-related
diseases,
Oil
Indonesia used to be a net oil exporter.
Oil is a major sector in the Indonesian economy. During the 1980s,
Indonesia was a significant oil-exporting country. Since 2000, domestic
consumption has continued to rise while production has been falling, so
in recent years Indonesia has begun importing increasing amounts of
oil. Within Indonesia, there are considerable amounts of oil in
Sumatra, Borneo, Java, and West Papua Province. There are said to be around 60 basins across the country, only 22 of which have been explored and exploited. Main oil fields in Indonesia include the following:
Minas. The Minas field, in Riau in Sumatra, operated by the US-based firm Chevron Pacific Indonesia, is the largest oil block in Indonesia. Output from the field is around 20-25% of current annual oil production in Indonesia.
Duri. The Duri field, in Bengkalis Regency in Riau in Sumatra, is operated by the US-based firm Chevron Pacific Indonesia.
Rokan. The Rokan field, in Riau in Sumatra, operated by Chevron Pacific Indonesia, is a recently developed large field in the Rokan Hilir Regency.
Cepu. The Cepu field, operated by Mobil Cepu Ltd which is a subsidiary of US-based Exxon Mobil, is on the border of Central and East Java near the town of Tuban.
The field was discovered in March 2001 and is estimated to have proven
reserves of 600 million barrels of oil and 1.7 trillion cu feet of gas.
Development of the field has been subject to on-going discussions
between the operators and the Indonesian government. Output is forecast to rise from around 20,000 bpd in early 2012 to around 165,000 bpd in late 2014.
Gas
Indonesia's gas balance
There is growing recognition in Indonesia that the gas sector has considerable development potential.
In principle, the Indonesian government is supporting moves to give
increasing priority to investment in natural gas. In practice, private
sector investors, especially foreign investors, have been reluctant to
invest because many of the problems that are holding back investment in
the oil sector also affect investment in gas. At present (mid 2013),
main potential gas fields in Indonesia are believed to include the
following:
Mahakam. The Mahakam block in East Kalimantan, under the management of Total E&P Indonesie with participation from the Japanese oil and gas firm Inpex,
provides around 30% of Indonesia's natural gas output. In mid 2013 the
field was reported to be producing around 1.7 billion cu ft
(48 million m3) per day of gas as well as 67,000 barrels (10,700 m3)
of condensate. At the time discussions were underway about the details
of the future management of the block involving a proposal that Pertamina take over all or part of the management of the block.
In October 2013 it was reported that Total E&P Indonesie had
announced that it would stop exploration for new projects at the field.
In 2015 the Energy and Resources Minister issued a regulation
stipulating that the management of the block would be transferred from
Total E&P Indonesie and Inpex, which had managed the field for over
50 years since 1966, to Pertamina. In late 2017, it was announced that Pertamina Hulu Indonesia, a subsidiary of Pertamina, would take over management of the block on 1 January 2018.
Tangguh. The Tangguh field in Bintuni Bay in West Papua Province operated by BP (British Petroleum) is estimated to have proven gas reserves of 4.4 trillion cu ft (120 billion m3). It is hoped that annual output of the field in the near future might reach 7.6 million tons of liquefied natural gas.
Arun. The Arun field in Aceh has been operated by ExxonMobil
since the 1970s. The reserves at the field are now largely depleted so
production is now slowly being phased out. At the peak, the Arun field
produced around 3.4 million cu ft (96 thousand m3) of gas per day (1994) and about 130,000 of condensate per day (1989). ExxonMobil affiliates also operate the nearby South Lhoksukon A and D fields as well as the North Sumatra offshore gas field.
In September 2015, ExxonMobil Indonesia sold its assets in Aceh to
Pertamina. The sale included the divestment by ExxonMobil of its assets
(100%) in the North Sumatra Offshore block, its interests (100%) in B
block, and its stake (30%) in the PT Arun Natural Gas Liquefaction (NGL)
plant. Following the completion of the deal, Pertamina will have an 85%
stake in the Arun NGL plant.
East Natuna. The East Natuna gas field (formerly known as Natuna D-Alpha) in the Natuna Islands
in the South China Sea is believed to be one of the biggest gas
reserves in Southeast Asia. It is estimated to have proven reserves of
46 trillion cu ft (1.3 trillion m3) of gas. The aim is to begin expanded production in 2020 with production rising to 4,000 million cu ft/d (110 million m3/d) sustained for perhaps 20 years.
Banyu Urip. The Banyu Urip field, a major field for Indonesia, is in the Cepu block in Bojonegoro Regency
in East Java. Interests in the block are held by Pertamina (45%)
through its subsidiary PT Pertamina EP Cepu and ExxonMobil Cepu Limited
(45%) which is a subsidiary of ExxonMobil Corporation. ExxonMobil is
the operator of the block.
Masela. The Masela field, currently (early 2016) under
consideration for development by the Indonesian Government, is situated
to the east of Timor Island, roughly halfway between Timor and Darwin in Australia. The main investors in the field are currently (early 2016) Inpex
and Shell who hold stakes of 65% and 35% respectively. The field, if
developed, is likely to become the biggest deepwater gas project in
Indonesia, involving an estimated investment of between $14–19 billion.
Over 10 trillion cu ft (280 billion m3) of gas are said to exist in the block.
However, development of the field is being delayed over uncertainty as
to whether the field might be operated through an offshore or onshore
processing facility. In March 2016, after a row between his ministers, President Jokowi decreed that the processing facility should be onshore.
This change of plans will involve the investors in greatly increased
costs and will delay the start of the project. It was proposed that they
submit revised Plans of Development (POD) to the Indonesian Government.
Shale
There is potential for tight oil and shale gas in northern Sumatra and eastern Kalimantan. There are estimated to be 46 trillion cu ft (1.3 trillion m3) of shale gas and 7.9 billion barrels (1.26×109 m3) of shale oil which could be recovered with existing technologies. Pertamina has taken the lead in using hydraulic fracturing
to explore for shale gas in northern Sumatra. Chevron Pacific Indonesia
and NuEnergy Gas are also pioneers in using fracking in existing oil
fields and in new exploration. Environmental concerns and a
government-imposed cap on oil prices present barriers to full
development of the substantial shale deposits in the country.
Sulawesi, Seram, Buru, Irian Jaya in eastern Indonesia have shales that
were deposited in marine environments which may be more brittle and
thus more suitable for fracking than the source rocks in western
Indonesia which have higher clay content.
Coal Bed Methane
With 453 trillion cu ft (12.8 trillion m3) of Coal Bed Methane (CBM) reserve mainly in Kalimantan and Sumatra,
Indonesia has potential to redraft its energy charts as United States
with its Shale Gas. With low enthusiasm to develop CBM project, partly
in relation to environmental concern regarding emissions of greenhouse gases and contamination of water in the extraction process, the government targeted 8.9 million cu ft (250 thousand m3) per day at standard pressure for 2015.[27]
Renewable energy sources
The contribution of renewable sources of energy to energy supply as a percentage of total primary energy (potential) supply in 2010 was 34.5%. Renewable generation sources supplied 5% to 6% of Indonesia's electricity in 2015. Indonesia has set a target of 23% of electricity generation from renewable sources by 2025.By November 2018, Indonesia had announced it was unlikely to meet the 23% renewable energy by 2025 target set in the Paris Accords.
In February 2020, it was announced that the People's Consultative Assembly is preparing its first renewable energy bill.
Biomass
An estimated 55% of Indonesia's population, i.e. 128 million people primarily rely upon traditional biomass (mainly wood) for cooking.
Reliance on this source of energy has the disadvantage that poor
people in rural areas have little alternative but to collect timber from
forests, and often cut down trees, to collect wood for cooking.
A pilot project of Palm Oil Mill Effluent (POME) Power Generator
with capacity of 1 Megawatt has been inaugurated in September 2014. Indonesia has many Palm Oil Mills.
Hydroelectricity
Indonesia has set a target of 2 GW installed capacity in hydroelectricity, including 0.43 GW micro hydro, by 2025.
Geothermal energy
Indonesia uses some geothermal energy. According to the Renewable Energy Policy Network's Renewables 2013 Global Status Report,
Indonesia has the third largest installed generating capacity in the
world. With 1.3 GW installed capacity, Indonesia trails only the United
States (3.4 GW) and the Philippines (1.9 GW). However it leads Mexico
(1.0 GW), Italy (0.9 GW), New Zealand (0.8 GW), Iceland (0.7 GW), and
Japan (0.5 GW).
Current official policy is to encourage the increasing use of
geothermal energy for electricity production. Geothermal sites in
Indonesia include the Wayang Windu Geothermal Power Station and the Kamojang plant, both in West Java.
The development of the sector has been proceeding rather more
slowly than hoped. Expansion appears to be held up by a range of
technical, economic, and policy issues which have attracted considerable
comment in Indonesia. However, it has proved difficult to formulate
policies to respond to the problems.
Wind power
On
average, low wind speeds mean that for many locations there is limited
scope for large-scale energy generation from wind in Indonesia. Only
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. For example, a small plant was established at Pandanmino, a small village on the south coast of Java in Bantul Regency, Yogyakarta Province, in 2011. However it was established as experimental plant and it is not clear whether funding for long-term maintenance will be available.
Indonesia’s first wind farm opened in 2018, the 75MW Sidrap Wind Farm in Sindereng Rappang regency, South Sulawesi.
Solar power
The
Indonesian solar PV sector is relatively underdeveloped but has
significant potential. However, for a range of reasons, it is unlikely
that it will be practical to expand electricity output from solar
sources in Indonesia quickly. A range of technical, financial, economic
and social constraints are likely to be constraints on the rapid
installation of solar power in Indonesia, including in rural areas.
Output from the solar photovoltaic sector is almost exclusively
set aside for decentralised rural electrification. In 2011 the sector
produced a relatively small amount of electricity—only 22 MWh.
Use of energy
Transport sector
Much
energy in Indonesia is used for domestic transportation. The dominance
of private vehicles - mostly cars and motorbikes - in Indonesia has led
to an enormous demand for fuel. Energy consumption in the transport
sector is growing by about 4.5% every year. There is therefore an urgent
need for policy reform and infrastructure investment to enhance the
energy efficiency of transport, particularly in urban areas.
There are large opportunities to reduce both the energy
consumption from the transport sector, for example through the adoption
of higher energy efficiency standards for private cars/motorbikes and
expanding mass transit networks. Many of these measures would be more
cost-effective than the current transport systems.
There is also scope to reduce the carbon intensity of transport energy,
particularly through replacing diesel with biodiesel or through
electrification. Both would require comprehensive supply chain analysis
to ensure that the biofuels and power plants are not having wider
environmental impacts such as deforestation or air pollution.
Electricity sector
Access to electricity
Over 50% of households in 2011 had an electricity connection. An
estimated 63 million people in 2011 did not have direct access to
electricity.
Organisations
The electricity sector, dominated by the state-owned electricity utility Perusahaan Listrik Negara, is another major consumer of primary energy.
Adaro Energy, one of the largest coal mining companies in Indonesia
Foreign firms
US-based firm PT Chevron Pacific Indonesia is the largest producer of crude oil in Indonesia; Chevron produces (2014) around 40% of the crude oil in Indonesia
Total E&P Indonesie which operates the East Mahakam field in Kalimantan and other fields
ExxonMobil is one of the main foreign operators in Indonesia
Statoil, a Norwegian multinational firm, which has been operating in Indonesia since 2007, especially in Eastern Indonesia
BP which is a major LNG operator in the Tangguh gas field in West Papua.
Inpex, a Japanese firm established in 1966 as North Sumatra Offshore Petroleum Exploration Co. Ltd.
Global warming
The CO2 emissions of Indonesia in total were over Italy in 2009. However, in all greenhouse gas emissions including construction and deforestation in 2005 Indonesia was top-4 after China, US and
Brazil.
First successful geothermal test boring in Indonesia at Kawah Kamojang in 1926
Geothermal power in Indonesia is an increasingly significant source of renewable energy. As a result of its volcanic geology, it is often reported that Indonesia has 40% of the world's potential geothermal resources, estimated at 28,000 megawatts (MW).
With an achievement of 1,924.5 MW it put Indonesia in second place in the world after the United States in utilizing geothermal power, shifting second position previously occupied by the Philippines. In 2007, geothermal energy represented 1.9% of the country's total energy supply and 3.7% of its electric power.
At the 2010 World Geothermal Congress in Bali, President Susilo Bambang Yudhoyono
announced a plan to build 44 new geothermal plants by 2014, more than
tripling capacity to 4,000 MW. By 2025, Indonesia aims to produce more
than 9,000 MW of geothermal power, becoming the world's leading
geothermal energy producer. This would account for 5% of Indonesia's total energy needs.
A detailed report on the geothermal sector in Indonesia issued in 2015 by the Asian Development Bank and World Bank, Unlocking Indonesia's Geothermal Potential, indicated that reforms in key areas of policy were likely to be needed to stimulate sustained expansion in the sector.
History
The first proposal on energy from volcanoes came in 1918 during the Dutch colonial era. In 1926, five test borings were drilled in Java's Kawah Kamojang field, the third being the first that was successful.
In the early 1980s, it was still discharging superheated steam from a
depth of 66 metres at a temperature of 140 °C and a pressure of 3.5 to 4
bars. A prefeasibility study for electricity generation was initiated in 1972 by Geothermal Energy New Zealand. The first generator was inaugurated in 1983 by President Suharto and subsequently expanded in 1987. Current capacity is 140 MW.
Since the mid-1980s, Chevron, the world's largest geothermal power producer, has operated two geothermal fields in West Java at Salak and Darajat with a combined capacity of around 365 MW. Between 1989 and 1997 explorations were conducted at the Sibayak geothermal field in northern Sumatra, and subsequently a 12 MW plant has been placed in operation.
In 1991, the Indonesia Geothermal Association (Asosiasi Panasbumi Indonesia
- API), a non-governmental organisation, was established to promote and
advertise geothermal energy. It has approximately 500 members including
geothermal experts, companies, and stakeholders. The Wayang Windu Geothermal Power Station in West Java, owned by British Star Energy,
has been in operation since 2000. It currently comprises two units with
a total capacity of 227 MW. There are plans for a third unit of 127 MW
which is expected to be on-stream by mid-2013.
Exploration and development
Exploration of the Bedugul Geothermal Field in Bali started in 1974 and though production capacity was estimated at 175 MW in 2008, the project is on hold after being opposed by local residents.
At the 2010 World Geothermal Congress
in Bali, several companies were awarded the rights to develop
geothermal fields and power plants: Golden Spike Indonesia won the
tender to develop a power plant at Mount Ungaran in Central Java, Sokoria Geothermal Indonesia gained rights to develop a plant at Ende, on Flores island, while Supreme Energy was chosen to develop plants at Mount Rajabasa in Lampung and Solok in West Sumatra. These projects were estimated to require a total investment of US$1.68 billion.
As of 2010, a total of 265 potential sites for plants have been identified across the country.
Development of the industry, however, involves a range of complex
policy issues, some of which are proving to be a continuing source of
controversy.
In mid-2011, for example, the Indonesian Government issued an expected
regulation providing certain guarantees for investors with the aim of
encouraging increased investment in the geothermal sector. However,
investor response was guarded, suggesting that key aspects had not been
addressed in the regulation.
In late 2013, PT Pertamina Geothermal Energy (PGE) -- a geothermal business branch of state oil and gas company PT Pertamina—said
that it planned to develop eight new geothermal plants with a total
capacity of 655 MW (expected to require $2.0 bn of new investments).
These included:
In addition, work is starting on the Sarulla geothermal plant in
North Sumatra with a total planned capacity of 320 MW. The plant has
been on the books since the early 1990s but development was stalled over
various issues. The plant, expected to cost around $1.65 billion, will
be built with financial support from the Asian Development Bank along with the Japan Bank for International Cooperation and other lenders. The first 110 MW started in 2017.
Installed capacity
According to the Renewable Energy Policy Network's Renewables 2013 Global Status Report,
Indonesia has the third largest installed generating capacity in the
world in the geothermal sector. With 1.3 GW installed capacity,
Indonesia trails only the United States (3.4 GW) and the Philippines
(1.9 GW). However it leads Mexico (1.0 GW), Italy (0.9 GW), New Zealand
(0.8 GW), Iceland (0.7 GW), and Japan (0.5 GW).
Recent developments
In
recent years, the Indonesian Government has announced plans for two
'fast-track' increases in the total capacity of Indonesia's electricity
generation network of 10,000 MW each. Under the second 10,000 MW fast-track plan it was forecast that a relatively large share of 3,970 MW would be installed in geothermal plants. But under the first 10,000 MW fast-track plan, investment in the geothermal sector appears to be lagging.
September 2011: The Indonesian state-owned electricity utility Perusahaan Listrik Negara
(PLN) announced that the outlook was that by 2014 only 1,200 MW of
power was likely to be produced from geothermal plants. The
then-president director of the PLN, Dahlan Iskan,
said that plans to develop a number of geothermal plants were behind
schedule because private sector investors were reluctant to invest as a
result of the perceived risks in the sector.
July 2012: A senior official from the PLN reported that there
were 13 geothermal power plants that were still stuck in the
exploration stages and were likely to miss development deadlines.
Problems mentioned included disappointing results at drilling sites,
lack of adequate supporting infrastructure (mainly roads), and
difficulties that firms faced in obtaining required permits for their
activities from the forestry department and local governments.
June 2013: The first International Geothermal Conference and
Exhibition was held in Indonesia. The relatively slow development of
the sector attracted comment. The Minister for Energy and Mineral
Resources announced that the prices to be paid for energy supplied by
geothermal suppliers would be increased to encourage activity in the
sector. Speaking at the conference, the Indonesian Vice President Boediono called for changes in policy to speed up development.
June 2013: Work on a significant geothermal project in Lampung in South Sumatra (planned size, 220 MW) was suspended following local protests. Local villagers in the Mount Rajabasa area claimed that development of the project would damage the social structure of the community. The Forestry Minister, Zulkifli Hasan,
sided with the local community saying that the company developing the
site, PT Supreme Energy, would need to convince the local villagers of
the safety of the project. In response, the chair of the Indonesian
Geothermal Association said that the government should shut all
geothermal projects if top officials were "half-hearted" in their
commitment to investors.
August 2014: The Indonesian Parliament approved a new
Geothermal Law aimed at facilitating development in the sector. Key
points of the new law included the following: (a) Geothermal activities
would no longer be considered mining activities; development of
geothermal resources can be carried out in forest conservation areas.
Under the existing Forestry Law, mining operations are prohibited in
protected forests. (b) Tenders for geothermal projects will be called by
the central government instead of by local administrations. (c) New
geothermal projects will be developed under new, more favorable, pricing
arrangements. (d) Local administrations will receive a portion of the
revenues derived from geothermal resources. (e) Quite detailed
provisions were set out regarding such things as surveys of geothermal
sites, exploration, tendering procedures, the size of working areas,
arrangements for determining prices and administrative sanctions,
obligations of the holders of geothermal licenses, and so on.
Policy issues
Expansion
in the sector appears to be being held back by a range of factors
including an uncertain regulatory environment (including, especially,
uncertainty over land laws) and the perceived risks of development. The Indonesian Government's plans for development of the geothermal sector rely largely on private sector investment.
But numerous reports indicate that private sector investors are
concerned about a range of risks including technical (geological) risks,
regulatory risks stemming from uncertain government policy, and
financial risks arising from the pricing policies determined by the
Indonesian Government.
For example, coal has been indirectly subsidised through the Domestic
Market Obligation policy, which requires coal companies to sell at a
government-specified, subsidised rate to the national utility.
By comparison, geothermal power has enjoyed relatively unfavourable
tender processes and is sold at higher prices. This makes it difficult
for geothermal plants to compete with conventional fuels.
There is disagreement within the Indonesian Government as to how
to mitigate risks or, where that is not possible, who should bear these
risks. Policy makers in the power sector, with an eye to meeting the
government's official investment targets, are often inclined to the view
that at least some of the risks should be borne by the Indonesian
Government through the national budget managed by the Ministry of
Finance.
Official policy from the Ministry of Finance has traditionally been
cautious, resisting the suggestion that unspecified risks should be
borne by the Indonesian budget.
In response to reports about certain of the risks that private
sector investors were concerned about, in mid-2011 the government issued
a regulation intended to provide guarantees that the state electricity
utility PLN would meet financial obligations to independent power
producers (IPPs) who invested in the geothermal sector. But the
regulation was quickly criticised by representatives of private
investors as being too limited and for failing to clarify important
concerns.
Pricing policy
Prices have been another important policy issue in the sector.
In an effort to encourage private sector investment, the Indonesian
government has been establishing a feed-in tariff
scheme by instructing state electricity utility PLN to purchase power
from geothermal projects at various rates ranging from around 6.5 US
cents to over 12 US cents per kWh.
The government is also preparing a regulation that is expected to
specify the price that the PLN must purchase power from geothermal plans
in the second 10,000 MW fast-track electricity sector program which the
government has announced; this regulation is expected to be finalised
by early 2012.
Environmental issues
According
to the Ministry of Forestry, around 80% of geothermal reserves are
located in designated conserved forest areas. The 2009 mineral and coal
mining law lists geothermal exploration as a mining activity so a
presidential decree would be required to allow geothermal activities
conserved forest areas. According to the ministry, geothermal mining is
unlikely to cause environmental harm.
In May 2011 the Indonesian government imposed a two-year moratorium on
logging. However this excepts the energy sector, including geothermal
activities.
Formed mostly as the result of volcanic eruptions from geologic subduction between Sunda Plate and Australian Plate, Java is the 13th largest island in the world and the fifth largest
in Indonesia by landmass at about 138,800 square kilometres
(53,600 sq mi). A chain of volcanic mountains forms an east–west spine
along the island. Three main languages are spoken on the island: Javanese, Sundanese, and Madurese, where Javanese is the most spoken; it is the native language of about 60 million Javanese people in Indonesia, most of whom live on Java. Furthermore, most residents are bilingual, speaking Indonesian (the official language of Indonesia) as their first or second language. While the majority of the people of Java are Muslim, Java's population comprises people of diverse religious beliefs, ethnicities, and cultures.
The origins of the name "Java" are not clear. One possibility is that the island was named after the jáwa-wut
plant, which was said to be common in the island during the time, and
that prior to Indianization the island had different names. There are other possible sources: the word jaú and its variations mean "beyond" or "distant". And, in Sanskrityava means barley, a plant for which the island was famous. "Yavadvipa" is mentioned in India's earliest epic, the Ramayana. Sugriva, the chief of Rama's army dispatched his men to Yavadvipa, the island of Java, in search of Sita.
It was hence referred to in India by the Sanskrit name "yāvaka dvīpa"
(dvīpa = island). Java is mentioned in the ancient Tamil text Manimekalai by Chithalai Chathanar which states that Java had a kingdom with a capital called Nagapuram. Another source states that the word "Java" is derived from a Proto-Austronesian root word, meaning "home". The great island of Iabadiu or Jabadiu was mentioned in Ptolemy's Geographia composed around 150 CE in the Roman Empire. Iabadiu
is said to mean "barley island", to be rich in gold, and have a silver
town called Argyra at the west end. The name indicates Java, and seems to be derived from the Sanskrit name Java-dvipa (Yavadvipa).
The annual news of Songshu and Liangshu referred to Java as
She-po (5th century CE), He-ling (640–818), then called it She-po again
until the Yuan dynasty (1271–1368), where they began mentioning Zhao-Wa. According to Ma Huan's book (the Yingya Shenlan), the Chinese called Java Chao-Wa, and the island was called She-pó (She-bó) in the past. When John of Marignolli returned from China to Avignon, he stayed at the Kingdom of Saba for a few months, which he said had many elephants and was led by a queen; Saba may be his interpretation of She-bó. Afanasij Nikitin, a merchant from Tver (in Russia), travelled to India in 1466 and described the land of java, which he call шабайте (shabait/šabajte).
Java is almost entirely of volcanic origin; it contains thirty-eight mountains forming an east–west spine that have at one time or another been active volcanoes. The highest volcano in Java is Mount Semeru, 3,676 metres (12,060 ft). The most active volcano in Java and also in Indonesia is Mount Merapi, 2,930 metres (9,610 ft). In total, Java has more than 150 mountains.
Java's mountains and highlands split the interior into a series of relatively isolated regions suitable for wet-rice cultivation; the rice lands of Java are among the richest in the world. Java was the first place where Indonesian coffee was grown, starting in 1699. Today, Coffea arabica is grown on the Ijen Plateau by small-holders and larger plantations.
The area of Java is about 150,000 square kilometres (58,000 sq mi). It is about 1,000 km (620 mi) long and up to 210 km (130 mi) wide. The island's longest river is the 600 km long Solo River. The river rises from its source in central Java at the Lawu volcano, then flows north and eastward to its mouth in the Java Sea near the city of Surabaya. Other major rivers are Brantas, Citarum, Cimanuk and Serayu.
The average temperature ranges from 22 °C (72 °F) to 29 °C
(84 °F); average humidity is 75%. The northern coastal plains are
normally hotter, averaging 34 °C (93 °F) during the day in the dry season. The south coast is generally cooler than the north, and highland areas inland are even cooler. The wet season
begins in November and ends in April. During that rain falls mostly in
the afternoons and intermittently during other parts of the year. The
wettest months are January and February.
West Java is wetter than East Java and mountainous regions receive much higher rainfall. The Parahyangan
highlands of West Java receive over 4,000 millimetres (160 in)
annually, while the north coast of East Java receives 900 millimetres
(35 in) annually.
The natural environment of Java is tropical rainforest, with ecosystems ranging from coastal mangrove forest on the north coast, rocky coastal cliffs on the southern coast, and low-lying tropical forest
to high altitude rainforest on the slopes of mountainous volcanic
regions in the interior. The Javan environment and climate gradually
alters from west to east; from wet and humid dense rainforest in western
parts, to a dry savanna environment in the east, corresponding to the climate and rainfall in these regions.
Male Javan rhino shot in 1934 in West Java. Today only small numbers of Javan rhino survive in Ujung Kulon; it is the world's rarest rhino.
Since ancient times, people have opened the rainforest, altered the ecosystem, shaped the landscapes and created rice paddy
and terraces to support the growing population. Javan rice terraces
have existed for more than a millennium, and had supported ancient
agricultural kingdoms. The growing human population has put severe
pressure on Java's wildlife, as rainforests were diminished and confined
to highland slopes or isolated peninsulas. Some of Java's endemic
species are now critically endangered, with some already extinct; Java
used to have Javan tigers and Javan elephants,
but both have been rendered extinct. Today, several national parks
exist in Java that protect the remnants of its fragile wildlife, such as
Ujung Kulon, Mount Halimun-Salak, Gede Pangrango, Baluran, Meru Betiri, Bromo Tengger Semeru and Alas Purwo.
Administration
Java transport network
Java is divided into four provinces and two special regions:
The island's exceptional fertility and rainfall allowed the
development of wet-field rice cultivation, which required sophisticated
levels of cooperation between villages. Out of these village alliances,
small kingdoms developed. The chain of volcanic mountains and associated
highlands running the length of Java kept its interior regions and
peoples separate and relatively isolated.
Before the advent of Islamic states and European colonialism, the
rivers provided the main means of communication, although Java's many
rivers are mostly short. Only the Brantas
and Sala rivers could provide long-distance communication, and this way
their valleys supported the centres of major kingdoms. A system of
roads, permanent bridges and toll gates is thought to have been
established in Java by at least the mid-17th century. Local powers could
disrupt the routes as could the wet season and road use was highly
dependent on constant maintenance. Consequently, communication between
Java's population was difficult.
The 9th century Borobudur Buddhist stupa in Central Java
The Taruma and Sunda kingdoms of western Java appeared in the 4th and 7th centuries respectively, while the Kalingga Kingdom sent embassies to China starting in 640. However, the first major principality was the Medang Kingdom that was founded in central Java at the beginning of the 8th century. Medang's religion centred on the Hindu god Shiva, and the kingdom produced some of Java's earliest Hindu temples on the Dieng Plateau. Around the 8th century the Sailendra dynasty rose in Kedu Plain and become the patron of MahayanaBuddhism. This ancient kingdom built monuments such as the 9th century Borobudur and Prambanan in central Java.
Around the 10th century the centre of power shifted from central to eastern Java. The eastern Javanese kingdoms of Kediri, Singhasari and Majapahit were mainly dependent on rice agriculture, yet also pursued trade within the Indonesian archipelago, and with China and India.
Majapahit was established by Wijaya and by the end of the reign of Hayam Wuruk
(r. 1350–89) it claimed sovereignty over the entire Indonesian
archipelago, although control was likely limited to Java, Bali and
Madura. Hayam Wuruk's prime minister, Gajah Mada, led many of the kingdom's territorial conquests.
Previous Javanese kingdoms had their power based in agriculture,
however, Majapahit took control of ports and shipping lanes and became
Java's first commercial empire. With the death of Hayam Wuruk and the coming of Islam to Indonesia, Majapahit went into decline.
Spread of Islam and rise of Islamic sultanates
Islam became the dominant religion in Java at the end of the 16th century. During this era, the Islamic kingdoms of Demak, Cirebon, and Banten were ascendant. The Mataram Sultanate
became the dominant power of central and eastern Java at the end of the
16th century. The principalities of Surabaya and Cirebon were
eventually subjugated such that only Mataram and Banten were left to
face the Dutch in the 17th century.
Java's contact with the European colonial powers began in 1522 with a treaty between the Sunda kingdom and the Portuguese in Malacca. After its failure, the Portuguese presence was confined to Malacca, and to the eastern islands.
In 1596, a four-ship expedition led by Cornelis de Houtman was the first Dutch contact with Indonesia. By the end of the 18th century the Dutch had extended their influence over the sultanates of the interior through the Dutch East India Company in Indonesia.
Internal conflict prevented the Javanese from forming effective
alliances against the Dutch. Remnants of the Mataram survived as the
Surakarta (Solo) and Yogyakarta principalities. Javanese kings claimed
to rule with divine authority and the Dutch helped them to preserve
remnants of a Javanese aristocracy by confirming them as regents or
district officials within the colonial administration.
Java's major role during the early part of the colonial period was as a producer of rice. In spice producing islands like Banda, rice was regularly imported from Java, to supply the deficiency in means of subsistence.
During the Napoleonic wars in Europe, the Netherlands fell to France, as did its colony in the East Indies. During the short-lived Daendels administration, as French proxy rule on Java, the construction of the Java Great Post Road was commenced in 1808. The road, spanning from Anyer
in Western Java to Panarukan in East Java, served as a military supply
route and was used in defending Java from British invasion.
Japanese prepare to discuss surrender terms with British-allied forces in Java 1945
In 1815, there may have been five million people in Java.
In the second half of the 18th century, population spurts began in
districts along the north-central coast of Java, and in the 19th century
population grew rapidly across the island. Factors for the great
population growth include the impact of Dutch colonial rule including
the imposed end to civil war in Java, the increase in the area under
rice cultivation, and the introduction of food plants such as cassava and maize that could sustain populations that could not afford rice. Others attribute the growth to the taxation burdens and increased expansion of employment under the Cultivation System to which couples responded by having more children in the hope of increasing their families' ability to pay tax and buy goods. Cholera claimed 100,000 lives in Java in 1820.
The advent of trucks and railways where there had previously only
been buffalo and carts, telegraph systems, and more coordinated
distribution systems under the colonial government all contributed to
famine elimination in Java, and in turn, population growth. There were
no significant famines in Java from the 1840s through to the Japanese occupation in the 1940s. However, other sources claimed the Dutch'sCultivation system is linked to famines and epidemics in the 1840s, firstly in Cirebon and then Central Java,
as cash crops such as indigo and sugar had to be grown instead of rice.
Furthermore, the age of first marriage dropped during the 19th century
thus increasing a woman's child-bearing years.
Independence
Indonesian nationalism first took hold in Java in the early 20th century, and the struggle to secure the country's independence following World War II
was centered in Java. In 1949, Indonesia became independent and the
island has dominated Indonesian social, political and economic life,
which has been the source of resentment of those residents in other
islands.
Java has been traditionally dominated by an elite class, while the
people in the lower classes were often involved in agriculture and
fishing. The elite class in Java has evolved over the course of
history, as cultural wave after cultural wave immigrated to the island.
There is evidence that South Asian emigres were among this elite, as
well as Arabian and Persian immigrants during the Islamic eras. More
recently, Chinese immigrants have also become part of the economic elite
of Java. Although politically the Chinese generally remain sidelined,
there are notable exceptions, such as the former governor of Jakarta, Basuki Tjahaja Purnama.
Though Java is increasingly becoming more modern and urban, only 75% of
the island has electricity. Villages and their rice paddies are still a
common sight. Unlike the rest of Java, the population growth in Central
Java remains low. Central Java however has a younger population than
the national average.
The slow population growth can in part be attributed to the choice by
many people to leave the more rural Central Java for better
opportunities and higher incomes in the bigger cities.
Java's population continues to rapidly increase despite many Javanese
leaving the island. This is somewhat due to the fact that Java is the
business, academic, and cultural hub of Indonesia, which attracts
millions of non-Javanese people to its cities. The population growth is
most intense in the regions surrounding Jakarta and Bandung, which is reflected through the demographic diversity in those areas.
Population development
With a combined population of 145 million in the 2015 census (including Madura's 3.7 million), which is estimated for 2014 at 143.1 million (including 3.7 million for Madura), Java is the most populous island in the world and is home to 57% of Indonesia's population.
At over 1,100 people per km² in 2014, it is also one of the most
densely populated parts of the world, on par with Bangladesh. Every
region of the island has numerous volcanoes, with the people left to
share the remaining flatter land. Because of this, many coasts are
heavily populated and cities ring around the valleys surrounding
volcanic peaks.
The population growth rate more than doubled in economically
depressed Central Java in the latest 2010–2015 period vs 2000–2010,
indicative of migration or other issues; there were significant volcanic eruptions during the earlier period. Approximately 45% of the population of Indonesia is ethnically Javanese, while Sundanese make a large portion of Java's population as well.
The western third of the island (West Java, Banten, and DKI
Jakarta) has an even higher population density, of nearly 1,500 per
square kilometer and accounts for the lion's share of the population
growth of Java. It is home to three metropolitan areas, Greater Jakarta (with outlying areas of Greater Serang and Greater Sukabumi), Greater Bandung, and Greater Cirebon.
1) Other islands are included in this figure, but are very small
in population and area, Nusa Barung 100 km², Bawean 196 km²,
Karimunjawa 78 km², Kambangan 121 km², Panaitan 170 km², Thousand
Islands 8.7 km² – with a combined population of roughly 90,000.
2) Land area of provinces updated in 2010 Census figures, areas may be different than past results.
3) 2015 Census prelim data released only first level administrations only, where not available 2014 Min. Health estimates are used in their place.
From the 1970s to the fall of the Suharto regime in 1998, the Indonesian government ran transmigration programs
aimed at resettling the population of Java on other less-populated
islands of Indonesia. This program has met with mixed results, sometimes
causing conflicts between the locals and the recently arrived settlers. Nevertheless, it has caused Java's share of the nation's population to progressively decline.
Jakarta and its outskirts, being the dominant metropolis, is also
home to people from all over the nation. East Java is also home to
ethnic Balinese, as well as large numbers of Madurans due to their
historic poverty.
Ethnicity and culture
A teenager in Java wearing traditional Javanese attire: blangkon headgear, batik sarong and kris as accessory. 1913
Despite its large population and in contrast to the other larger
islands of Indonesia, Java is comparatively homogeneous in ethnic
composition. Only two ethnic groups are native to the island—the Javanese and Sundanese. A third group is the Madurese, who inhabit the island of Madura off the northeast coast of Java, and have immigrated to East Java in large numbers since the 18th century.
The Javanese comprise about two-thirds of the island's population,
while the Sundanese and Madurese account for 20% and 10% respectively. The fourth group is the Betawi people that speak a dialect of Malay, they are the descendants of the people living around Batavia from around the 17th century. Betawis are creole people, mostly descended from various Indonesian archipelago ethnic groups such as Malay, Sundanese, Javanese, Balinese, Minang, Bugis, Makassar, Ambonese, mixed with foreign ethnic groups such as Portuguese, Dutch, Arab, Chinese and Indian brought to or attracted to Batavia to meet labour needs. They have a culture and language distinct from the surrounding Sundanese and Javanese.
The Javanese kakawinTantu Pagelaran explained the mythical origin of the island and its volcanic nature. Four major cultural areas exist on the island: the kejawen or Javanese heartland, the north coast of the pasisir region, the Sunda lands of West Java, and the eastern salient, also known as Blambangan. Madura makes up a fifth area having close cultural ties with coastal Java. The kejawen
Javanese culture is the island's most dominant. Java's remaining
aristocracy are based here, and it is the region from where the majority
of Indonesia's army, business, and political elite originate. Its
language, arts, and etiquette are regarded as the island's most refined
and exemplary. The territory from Banyumas in the west through to Blitar in the east and encompasses Indonesia's most fertile and densely populated agricultural land.
In the southwestern part of Central Java, which is usually named the Banyumasan region, a cultural mingling occurred; bringing together Javanese culture and Sundanese culture to create the Banyumasan culture. In the central Javanese court cities of Yogyakarta and Surakarta,
contemporary kings trace their lineages back to the pre-colonial
Islamic kingdoms that ruled the region, making those places especially
strong repositories of classical Javanese culture. Classic arts of Java
include gamelan music and wayang puppet shows.
Java was the site of many influential kingdoms in the Southeast Asian region, and as a result, many literary works have been written by Javanese authors. These include Ken Arok and Ken Dedes, the story of the orphan who usurped his king, and married the queen of the ancient Javanese kingdom; and translations of Ramayana and Mahabharata. Pramoedya Ananta Toer
is a famous contemporary Indonesian author, who has written many
stories based on his own experiences of having grown up in Java, and
takes many elements from Javanese folklore and historical legends.
Languages
Languages spoken in Java (Javanese is shown in white). "Malay" refers to Betawi, the local dialect as one of Malay creole dialect.
The three major languages spoken on Java are Javanese, Sundanese and Madurese. Other languages spoken include Betawi (a Malay dialect local to the Jakarta region), Osing, Banyumasan, and Tenggerese (closely related to Javanese), Baduy (closely related to Sundanese), Kangeanese (closely related to Madurese), and Balinese. The vast majority of the population also speaks Indonesian, often as a second language.
Religion
Java has been a melting pot of religions and cultures, which has created a broad range of religious belief.
Indian influences came first with Shaivism and Buddhism penetrating deeply into society, blending with indigenous tradition and culture. One conduit for this were the ascetics, called resi, who taught mystical practices. A resi
lived surrounded by students, who took care of their master's daily
needs. Resi's authorities were merely ceremonial. At the courts, Brahmin clerics and pudjangga (sacred literati) legitimised rulers and linked Hindu cosmology to their political needs. Small Hindu enclaves are scattered throughout Java, but there is a large Hindu population along the eastern coast nearest Bali, especially around the town of Banyuwangi.
The coming of Islam,
strengthened the status structure of this traditional religious
pattern. More than 90 percent of the people of Java are Muslims, on a
broad continuum between abangan (more traditional) and santri (more modernist). The Muslim scholar of the writ (Kyai) became the new religious elite as Hindu influences receded. Islam recognises no hierarchy of religious leaders nor a formal priesthood, but the Dutch colonial government established an elaborate rank order for mosque and other Islamic preaching schools. In Javanese pesantren (Islamic schools), The Kyai perpetuated the tradition of the resi. Students around him provided his needs, even peasants around the school.
Pre-Islamic Javan traditions have encouraged Islam in a mystical
direction. There emerged in Java a loosely structured society of
religious leadership, revolving around kyais, possessing various degrees of proficiency in pre-Islamic and Islamic lore, belief and practice. The kyais are the principal intermediaries between the villages masses and the realm of the supernatural. However, this very looseneess of kyai leadership structure has promoted schism. There were often sharp divisions between orthodox kyais, who merely instructed in Islamic law, with those who taught mysticism and those who sought reformed Islam with modern scientific concepts. As a result, there is a division between santri, who believe that they are more orthodox in their Islamic belief and practice, with abangan, who have mixed pre-Islamic animistic and Hindu-Indian concepts with a superficial acceptance of Islamic belief.
There are also Christian communities, mostly in the larger cities, though some rural areas of south-central Java are strongly Roman Catholic. Buddhist communities also exist in the major cities, primarily among the Chinese Indonesian. The Indonesian constitution recognises six official religions.
A wider effect of this division is the number of sects. In the middle of 1956, the Department of Religious Affairs in Yogyakarta reported 63 religious sects in Java other than the official Indonesian religions. Of these, 35 were in Central Java, 22 in West Java and six in East Java. These include Kejawen, Sumarah, Subud,
etc. Their total membership is difficult to estimate as many of their
adherents identify themselves with one of the official religions.
Initially the economy of Java relied heavily on rice agriculture. Ancient kingdoms such as the Tarumanagara, Mataram, and Majapahit
were dependent on rice yields and tax. Java was famous for rice
surpluses and rice export since ancient times, and rice agriculture
contributed to the population growth of the island. Trade with other
parts of Asia such as ancient India and China flourished as early as the
4th century, as evidenced by Chinese ceramics found on the island dated
to that period. Java also took part in the global trade of Malukuspice from ancient times in the Majapahit era, until well into the Dutch East India Company (VOC) era.
The VOC set their foothold on Batavia in the 17th century and was succeeded by the Dutch East Indies in the 19th century. During these colonial times, the Dutch introduced the cultivation of commercial plants in Java, such as sugarcane, rubber, coffee, tea, and quinine.
In the 19th and early 20th century, Javanese coffee gained global
popularity. Thus, the name "Java" today has become a synonym for coffee.
Java has been Indonesia's most developed island since the Dutch East
Indies era and continues to be so today in the modern Republic of
Indonesia. The road transportation networks that have existed since
ancient times were connected and perfected with the construction of Java Great Post Road by Daendels in the early 19th century. It became the backbone of Java's road infrastructure and laid the base of Java North Coast Road (Indonesian: Jalan Pantura, abbreviation from "Pantai Utara").
The need to transport commercial produces such as coffee from
plantations in the interior of the island to the harbour on the coast
spurred the construction of railway networks in Java. Today, industry,
business, trade and services flourished in major cities of Java, such as
Jakarta, Surabaya, Semarang, and Bandung; while some traditional Sultanate cities such as Yogyakarta, Surakarta, and Cirebon
preserved its royal legacy and has become the centre of art, culture
and tourism. Industrial estates are also growing in towns on northern
coast of Java, especially around Cilegon, Tangerang, Bekasi, Karawang, Gresik and Sidoarjo. The toll road
highway networks was built and expanded since the New Order until the
present day, connecting major urban centres and surrounding areas, such
as in and around Jakarta and Bandung; also the ones in Cirebon, Semarang and Surabaya. In addition to these motorways, Java has 16 national highways.
Based on the statistical data by the year of 2012 released by Statistics Indonesia (Badan Pusat Statistik), Java alone contributes at least 57.51% of Indonesia's GDP or equivalent to US$504 billion.
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