A Conceptualization of Renewable Energy-Powered Industrial Cluster Development in Indonesia

Abstract

Indonesia hopes to accelerate its growth by developing integrated industrial clusters in strategic areas around the nation. Several of these clusters are in the area where traditional non-renewable energy could have the same or even more expensive cost than locally generated renewable energy. It is also an opportunity to start fresh any development of industrial cluster with lower emissions. The objective of this research is to understand the connected factors in developing renewable energy-powered industrial cluster in Indonesia Using causal loop diagram, as part of system dynamics approach to understand how the whole system connected. It took the novelty as the conceptual model was generated mainly on financial perspectives and sustainability aspects which could be beneficial for further research.