Irwan Sinaga
Assistant to Deputy Minister for America and the Pacific Economic Cooperation
Darwin T. Siahaan
Senior Policy Analyst
Bobby Satria
Junior Policy Analyst
C. Novika Maharani
Economic Analyst
Muhammad Rizki
Staff
Siti Khoirunissa Siregar
Staff
11 Nov 2022
The big challenge that the Government of Indonesia and related stakeholders have to do at this time, is to formulate the best strategy to meet the investment needs to deactivate coal-based power plants and explore other methods of energy transition process at lower costs.
Currently, the Government of Indonesia is fully committed to addressing climate change issues, as stated in the Indonesia Long-Term Strategy for Low Carbon and Climate Resilience 2050 (Indonesia LTS-LCCR 2050). It is hoped that the Net-Zero Emission target can be met in 2060 or sooner, by reducing the use of fossil resources including coal, and optimizing new and renewable energy.
In this regard, the Governments of Indonesia and the United States (US) have initiated the Climate Change Task Force in the context of implementing the Nationally Determined Contribution (NDC). Indonesia expects assistance and support from the US in forming a long-term greener pathway towards a more sustainable and resilient world accompanied by a feasibility study of the Energy Transition Mechanism (ETM).
The big challenge that the Government of Indonesia and related stakeholders have to do at this time is to formulate the best strategy to meet investment needs to deactivate coal-based power plants and explore other methods of energy transition processes at lower costs.
Keywords: climate change, emission reduction, financing, green investment, coal phasing out