JakartaPost-Dec 23
Uncertainty about the investment climate and a lack of political commitment might hamper renewable energy development in Indonesia next year, a think tank has warned. The Institute for Essential Services Reform (IESR) notes in its report Indonesia Energy Transition Outlook 2022 that the current policy and regulatory framework does not reflect a strong commitment to decarbonization in the energy sector. “This year shows improving political commitment but it has not yet translated into implementation and improvement of key energy policy documents that guide sector planning [and] development,” the IESR said in the report, which showed that the level of political will in Indonesia remained “low” in 2021. The IESR went on to say that current energy policies had yet to provide a sense of security for developers to invest in new and renewable energy (NRE). As a result, NRE investment had missed the target set for this year. In September, the total installed capacity of NRE was 10,827 MW, up just about 400 MW from a year earlier. To decarbonize Indonesia’s energy system covering power generation, transportation and industrial consumption by 2050, meanwhile, at least 11 to 13 GW of additional renewable energy generation capacity is needed, according to the IESR report. Read more at: https://www.thejakartapost.com/paper/2021/12/23/greater-political-will-critical-for-progress-on-renewable-energy-experts.html.
