Indonesia Energy Transition Outlook

FOREWORD

The energy transition is vital in the context of the current global climate situation, in which the 1.5°C target remains barely within reach. It is also important for Indonesia, given that the country’s primary energy mix remains dominated by fossil energy, which accounts for approximately 90% of energy production. Indonesia has abundant renewable energy resources of more than 3 000 GW, mostly comprising solar, but also wind, hydro, bioenergy, ocean and geothermal.

Indonesia is committed to a 29% reduction in our greenhouse gas (GHG) emissions by 2030 through our own efforts – or to 41% with international support. We have also pledged to reach net-zero emissions (NZE) in 2060 or sooner. Renewable energy potentials play an important role in achieving these targets, and in meeting energy demand with a high share of renewables in the national energy mix.

There are multiple decarbonisation pathways specific to each country that consider potentials, technology and financing availability. In the case of Indonesia, in addition to the potential for renewable energy, the country also has a very large nuclear energy potential, and the possibility of implementing CCS, which can support Indonesia's decarbonisation path towards net zero emissions.

It is a great pleasure to publish the Indonesia energy transition outlook, which captures all possible options for Indonesia to accelerate the energy transition to achieve the net-zero emissions target. We are grateful to IRENA for supporting us in producing this outlook, and it has been an honour to collaborate with IRENA, PT PLN, and all other stakeholders to produce such a comprehensive document.

Finally, on behalf of the Government of Republic of Indonesia, I would like to thank IRENA for the cooperation that was strengthened during this project, and for the Agency’s global role in advancing renewable energy solutions to achieve Agenda 2030 and the Sustainable Development Goals (SDGs), as well as preparing for a net-zero emissions future.

Arifin Tasrif

Minister of Energy and Mineral Resources, Republic of Indonesia

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