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Luhut Said Indonesia Has 437 GW Potential of Renewable Energy

Senin, 14 November 2022 - 16:03 | 13.27k
Luhut Said Indonesia Has 437 GW Potential of Renewable Energy
Photo: Coordinating Minister for Maritime and Investment Affairs, Luhut Binsar Pandjaitan when filling the BNEF forum, Indonesia's G20 series. (Photo: BNEF 2022)

G20 Indonesia

TIMESINDONESIA, BALI – Coordinating Minister for Marvest RI, Luhut Binsar Pandjaitan said that Indonesia has a potential for new and renewable energy (EBT) in the country of 437 gigawatts (GW).  This potential can make Indonesia achieve its net zero emission target by 2060.

"The potential investment in renewable energy is about 700 billion U.S. dollars until 2060. It's a big cake. Therefore, I am very confident that  Indonesia can accelerate the energy transition because there is so much potential that we can do in this country if we manage it well," Luhut said at the Bloomberg NEF (BNEF) Net Zero Summit,  Indonesia's G20 series.

Luhut assessed that with the large potential of  NRE  of  437 GW, the Government of Indonesia and PT PLN (Persero) are ready to develop clean energy potential. It can also be an opportunity for cooperation between global countries to jointly reduce carbon emissions.

"You can see, Indonesia is committed to net zero emissions by 2060 or sooner. I believe we can make that happen faster with existing technology and teamwork," he said.

Meanwhile,  President Director of PLN Darmawan Prasodjo assessed that the energy transition step can guarantee the future of the nation's children in the future and  PLN's full commitment to the energy transition. 

"We have a full commitment to do that.  It's not just because of a policy. We do that because we care," he said.

So far, PLN has made various efforts in the energy transition agenda, namely in addition to intensively building NRE-based plants. PLN also encourages the electric vehicle ecosystem so that it can reduce the number of fossil energy dependence amidst the challenges of net zero emission targets and the energy crisis.  

"We must ensure that soon, clean energy will guarantee energy resilience and affordability," he said.

Darmawan said that in the short term, the use of natural gas is one of the important strategies in the energy transition in addition to the development of  NRE. 

Moreover, for the long term, PLN focuses on the development of large-scale renewable energy combined with energy storage and interconnections.

"We have successfully phased out 13 GW  of coal power plants in the planning phase.  What that means is, we have been able to avoid CO2 emissions of 1.8 billion tons for 25 years," he said.

In addition, PLN has also changed the planning for the construction of a 1.1 GW  coal plant to be based on clean energy and 880 MW  of coal plants that are converted to gas-based.

"We also compile a very aggressive RUPTL in adding 20.9 GW  of NRE or 51.6 percent of the additional generation from  2021-2030 based on NRE.   This is the greenest RUPTL  in the history of  PLN  as well as in the history of  Indonesia," he said.

Darmawan added that this year from these efforts PLN was able to reduce emissions by up to 35 million tons.  However, if there is no maximum effort,  carbon emissions can reach 240 million tons.

"It's very important how all of this is not just a high-level strategy but can translate into effective operations in the field," he said.

Therefore, according to him, there is a need for technological innovation, financing, and policies that allow renewable energy to be developed on a large scale.

PLN has developed a comprehensive roadmap to achieve net zero emissions by 2060. (*)

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Editor : Khodijah Siti
Publisher : Lucky Setyo Hendrawan