In order to support the business world in achieving the net zero emission target, Kadin's Energy Transition Working Group stressed the importance of utilising new renewable energy (EBT) to accelerate the energy transition in Indonesia. This was conveyed in one of the dialogue meeting sessions on the second day of the Indonesia International Sustainability Forum (ISF) 2024, at the Jakarta Convention Center.

Indonesia's energy transition is a strategic step in maintaining national energy security while encouraging the creation of a green economy. This effort demonstrates Indonesia's strong commitment to expanding access to more affordable and cleaner infrastructure innovations, in order to support a more sustainable economic recovery. Moreover, Indonesia has renewable energy resources totalling 3,686 GW, which includes 3,295 GW of solar power, 95 GW of hydropower, 57 GW of bioenergy, 155 GW of wind power, 24 GW of geothermal energy, and 60 GW of ocean energy.

Chairman of Kadin's Energy Transition Working Group, Anthony Utomo stated that Indonesia has a great opportunity to become a global leader in the energy transition towards achieving net-zero emissions, as it has abundant renewable energy resource potential as well as a strong commitment from the private sector and government in supporting future energy sustainability.

‘We welcome today's dialogue as an effort to encourage the acceleration of Indonesia's renewable energy transition. This potential will not only encourage green economic growth, but will also allow Indonesia's national industry to contribute more to national economic growth, while emphasising Indonesia's position as a leader in global climate action,’ Anthony said.

This is also in line with the Director General of EBTKE of the Ministry of Energy and Mineral Resources (ESDM), Prof. Dr. Eng. Eniya Listiani Dewi, who also emphasised the importance of EBT transition to support the achievement of the net zero emission target by 2060. According to her, EBT plays an important role in creating new investment opportunities and driving sustainable economic growth.

‘Indonesia needs an investment of USD 55 billion in the next 5 years. Even in the next year, Indonesia needs an investment of US$14 billion. We invite Kadin businesses to seize the great opportunity of the renewable energy transition and collaborate with the government to achieve the net-zero emission target by 2060,’ Eniya explained.

Bappenas' Deputy for Facilities and Infrastructure, Ervan Maksum, also stated that the government is committed to conducting a comprehensive mapping of all sectors to achieve the net zero emission target. This mapping will serve as a strong foundation in formulating targeted policies and strategies to realise sustainable development.

‘This mapping is aligned with the National Medium-Term Development Plan (RPJMN). Through comprehensive sector mapping, we can identify investment opportunities in the clean energy sector, drive technological innovation, and create new jobs. This is a strategic step towards building a more sustainable Indonesia,’ said Mr Ervan.

CEO of PT Samator Indo Gas Tbk, and member of Kadin's Energy Transition Working Group, Rachmat Harsono also emphasised the importance of government and business collaboration in driving the energy transition. He hopes that the government can provide more attractive incentives to encourage the active participation of national businesses.

The energy transition requires collective and synergistic efforts from all stakeholders ranging from the government, financial institutions, businesses, to universities. This collaboration and support can strengthen the role of national businesses in the energy transition. For example, collaboration with universities for Research and Development, as well as the right incentives from the government which can be a catalyst for national businesses to invest more in the renewable energy sector. This synergy will certainly strengthen national energy security,’ said Rachmat.

In addition, the session was also addressed by Commission VII DPR RI Dyah Roro Esti Widya Putri, Rector of Defence University LT. Gen. (Ret) Jonni Mahroza, President Director & CEO of PT ESSA Industries Indonesia Tbk Kanishk Laroya, and Head of Indonesian Energy Transition Action Design House Rumah PATEN Edo Mahendra.

Therefore, the presence of various stakeholders in this session is expected to create synergies that encourage the birth of innovations and more concrete solutions for accelerating the energy transition, so that the target of a new and renewable energy mix of 23% by 2025 can be achieved more quickly.