Key stakeholders gathered from various institutions, including MEMR, BAPPENAS, the Ministry of Home Affairs, and PT PLN , along with local officials from WNT, NGOs, and others during the 3rd National Advisory Group Meeting on the 100% Renewable Energy project.

“The energy transition must also consider social justice. The shift from fossil energy to renewable energy should not have negative impacts on society, especially for those in remote areas.”

Andriah Feby Misna, the Director General of Renewable Energy and Energy Conservation at the Ministry of Energy and Mineral Resources (MEMR), stated this important energy transition reminder during the third National Advisory Group (NAG) Meeting for the 100% Renewable Energy (RE) project held on September 3, 2024, in Jakarta, Indonesia.

Misna further emphasized that energy transition policies must be accompanied by re-skilling and economic empowerment programs so that all sectors of society can benefit from this transition.

As part of the 100% RE project, ICLEI Indonesia facilitated this NAG meeting as a vital step in streamlining the energy planning process through multi-level governance and policy alignment in West Nusa Tenggara’s (WNT) journey toward 100% RE by 2050. The meeting discussed the ways forward and national policy recommendations (NPR) to support regional energy transitions.

Led by Arif Wibowo, Country Manager of ICLEI Indonesia, the meeting involved representatives from various institutions, including MEMR, the National Development Planning Agency (BAPPENAS), the Ministry of Home Affairs, and PT PLN (State Electricity Utility), along with local officials from WNT, NGOs, and stakeholders in the energy sector.

In the photo above (left to right), Irvan from the Regional Development of Sumbawa Regency (BAPPEDA); Andriah Febby Misna from MEMR; M. Sahdan from WNT’s Energy Agency; Rahmat Woetellar as Head of the Advisory Board; Haryo Lukito from PLN; and Arif Wibowo from ICLEI Indonesia.

One of the key sessions included the symbolic handover of the “100% RE Roadmap 2050” document to H. Sahdan, Head of the WNT Energy and Mineral Resources Office; Mr. Irvan from WNT Provincial Planning Agency (Bappeda NTB Province); Ms. Andriah Feby Misna, the Director of New and Renewable Energy MEMR; and a representative from PT PLN. 

Following this, Dr. Ir. Surya Darma MBA. Dipl. Geotherm. Tech, Chair of the Indonesian Center for Renewable Energy Study (ICRES) and the consultant for the NPR’s development, presented the results of their comprehensive study including the current energy situation, existing policies, and barriers to renewable energy adoption in Indonesia. 

“The primary challenge is related to investment in RE projects, while a secondary challenge involves the perception of willingness among business entities. It is essential to create synergy with existing policies, strategies, regulatory frameworks, and stakeholders,” said Darma.

The key recommendations provided in the meeting include: (1) Increasing RE targets for the new National Energy Plan (RUEN), National Medium-Term Development Plan (RPJMN) and Regional Medium-Term Development Plan (RPJMD; (2) Synchronizing national and regional policies to support RE projects;. (3) Establishing a national policy for sustainable energy development or enacting RE law/legislation; (4) Eliminating the coal Domestic Market Obligation (DMO) scheme to address market distortions; and (5) Reducing government spending on transport fuel subsidies and creating a fund management agency for RE financing.

Participants and speakers during the feedback and discussion session.

In response to the NPR draft, Jayanti Maharani, Planner of Energy and Electricity Sectors from BAPPENAS, said the National Long-Term Development Plan (RPJPN) 2025-2045 Law has been approved by the House of Representatives (DPR), while in the National Medium-Term Development Plan (RPJMN) 2025-2029, the energy transition is directed at the implementation of Carbon capture and storage (CCS)/carbon capture, utilisation and storage (CCUS) systems; restrictions on the construction of coal-fired power plants; utilization of Energy Storage Systems (ESS); development of renewable power plants; preparation of regulations and institutions for nuclear power plants, hydrogen, and low-carbon ammonia; increasing the use of electric vehicles; and developing an electricity grid through interconnection and smart grids. Significant financial resources are needed to finance this energy transition. Based on initial calculations, there is still a gap in electricity infrastructure funding in 5 years of USD 50-billion. As such, the involvement of the private sector, business entities, and alternative financing is encouraged to be key players in the necessary development funding paradigm.

“The renewable energy mix target has already been included in the updated RPJMN, which will be implemented at the regional level through RPJPD. We support ICLEI in assisting regions with this initiative to be implemented in other areas,” said  Maharani.

Sahdan further emphasized the crucial role of central government support, stressing the need for financial backing and effective regulations to facilitate regional energy transitions.

It is expected that the recommendations in the NPR document will be considered by the national government, enabling the growth of renewable energy development. This would allow regional governments to better harness renewable energy, contributing to the achievement of Indonesia’s net-zero emissions target and the national energy mix goal.

Download and read the Indonesia NPR document HERE.