Influence factors on sustainable business models for renewable energy supply: Indonesian electricity industry

Abstract

The Indonesian electricity industry was under the management of PLN, presenting a significant opportunity to embrace renewable energy sources in response to tightening green energy regulations. This study utilized the sustainable business model concept, deconstructing the value economic, socio-cultural, and ecological. The goal was to pinpoint critical factors influencing business strategies for supplying renewable energy electricity to customers. Employing the Delphi method, which compiles expert consensus from PLN, was the subject of this study. In achieving a value delivery, collaboration with the government, suppliers, and technology partners played a vital role to achieving business objectives. Understanding customer requirements and desires was imperative for renewable energy companies in Indonesia to meet customer expectations. The value creation dimension emphasized establishing strong relationships and ensuring consumer satisfaction to foster loyalty. The value proposition served as the bedrock for articulating the distinct benefits of products and services, setting the company apart from competitors. Within the Indonesian renewable energy context, value capture stood as a crucial component in shaping a company’s business strategy. This involved efficiently managing production costs, investment costs, and attribute costs to guarantee consistent and profitable revenue. Future research should explore priority factors in-depth and craft intricate business models tailored to meticulously analyzed priorities.