Indonesia Accelerates Green Energy Transition and Carbon Reduction
- STIC CEGIR
- Oct 31, 2024
- 1 min read
Updated: Nov 2, 2024
Indonesia is committed to reducing greenhouse gas emissions by 31,89 percent by 2030 through a transition to renewable energy and carbon trading. This initiative aims to accelerate the achievement of Net Zero Emissions by 2060, or sooner with international support. Coordinating Minister for Economic Affairs, Airlangga Hartarto, emphasized the need for an energy transition, noting that energy accounts for 34% of the country's emissions.
The government has implemented several regulations to support this transition, including the launch of an Emission Trading System (ETS) in the power sector and a Carbon Exchange. A Just Energy Transition Partnership (JETP) has secured $21.6 billion for funding early retirements of coal and solar plants.
Indonesia also collaborates with Japan on the Asia Zero Emission Community (AZEC), monitoring 78 energy transition projects, including 34 in Indonesia. Additionally, the country promotes clean energy through its successful B35 Biodiesel Mandate and is preparing to launch a B40 Mandate in 2025.
The National Research and Innovation Agency (BRIN) is developing a hybrid energy model combining Solar Power Plants and Pumped Hydro Energy Storage, aiming for sustainable electricity. However, challenges such as funding and logistical support remain, necessitating collaboration among government, industry, and research institutions to harness Indonesia's renewable energy potential.
Souce: Kristantyo Wisnubroto (2024), ‘Biodiesel hingga Hydro: Komitmen Indonesia Kurangi Emisi Gas Rumah Kaca’, Indonesia.go.id, 03 September Available at: