A man rides his motorcycle with the background of a coal-fired power plant in Tangerang district, Banten, on April 27, 2020. (Beritasatu Photo/Ruht Semiono)

Gov't Reaffirms Commitment to Energy Transition


OCTOBER 27, 2021

Jakarta. The Indonesian government once again pledged to advance the nation’s shift from fossil fuel to renewables, as it sets up strategies to give the energy transition a push.

Indonesia has yet made good use of its abundant renewable sources. The country’s installed renewable energy capacity currently stands at 11 gigawatt, with an average annual growth of five percent, according to Energy and Mineral Resources Minister Arifin Tasrif.


“Our installed renewable energy capacity can potentially reach more than 600 gigawatt. But of that number, we have only utilized 2 percent,” Arifin told Bumee Summit 2021 —a green economy conference held by Beritasatu Media Holdings— on Wednesday.

The government has designed a blueprint to unlock a carbon neutral future by 2060.

According to the 2021-2060 energy transition roadmap, Indonesia will no longer install new steam-powered plants, except for the contract-bound ones or those already under construction. 

“Starting in 2030, all additional power generation will come from renewable energy plants, particularly solar power plants,” Arifin said.

Indonesia seeks to gradually retire its fossil fuel-based power plants in accordance with the plant's age, but this process can take place sooner with the proper mechanism. 

“And we will optimize energy storage [technologies]—namely pump storage, battery energy storage systems, hydrogen fuel cells— gradually starting in 2031,” the minister said.

Other strategies include the option for nuclear energy usage, which Indonesia plans to kick off in 2045.

The government also aims to build intra and inter-islands connectivity, while implementing smart grids and smart meters. As well as the promotion of electric vehicles and stoves in a bid to slash emissions, according to Arifin.

"The transformation towards renewables, along with the acceleration of green tech-based economy, will become a milestone in our economy," Arifin said.

Indonesia has set a goal of cutting greenhouse gas emissions by 29 percent on its own or 41 percent with international assistance by 2030. The target is part of Indonesia's nationally determined contribution (NDC) to the Paris Agreement.