Opened with a speech by Singaporean Prime Minister Lawrence Wong, the IPEF CEIF 2024 agenda connects investors from around the world with sustainable projects in the Indo-Pacific region, focusing on projects supporting a clean economy and climate technology. This forum is expected to result in various investment agreements as tangible benefits of the IPEF cooperation.

In addition to warmly welcoming and congratulating all forum participants, PM Lawrence Wong also emphasized the importance of the clean economy pillar to accelerate the development and adoption of environmentally friendly technologies. Investment in this sector will also support clean energy and sustainable infrastructure.

Delivering a keynote speech at the forum, United States Secretary of Commerce Gina Raimondo announced that the US would provide $25 billion to the Indo-Pacific region through investors attending the forum to seek investment opportunities. Secretary Gina Raimondo also expressed her support for various projects in several IPEF partner countries, including the construction of a data center in Indonesia.

At this forum, Coordinating Economic Minister Airlangga Hartarto served as a panelist opening the panel discussion themed Building Tomorrow: Sustainable Infrastructure Investment for A Resilient Future, alongside India's Commerce Secretary Shri Sunil Barthwal, CEO of Temasek Holdings (Private) Limited & Temasek International Pte. Ltd. Dilhan Pillay and Co-CEO of KKR & Co. Inc. Joseph Bae.

"For Indonesia, the investment funding target needed for the Enhanced Nationally Determined Contribution is approximately $281 billion. Regarding the achievement of net-zero emissions by 2060, Indonesia requires around $1.1 trillion," explained Coordinating Minister Airlangga.

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Airlangga also conveyed that Indonesia had developed strategies to support green investment through several alternative financing options such as green bonds, green sukuk, green taxonomy and carbon pricing. Indonesia is also collaborating with the Japanese government through the Just Energy Transition Partnership (JETP) scheme with funding of $20 billion.

Additionally, Indonesia is collaborating through the ASEAN Zero Emission Community (AZEC) scheme with funding of $500 billion, involving flagship projects such as the Muara Laboh geothermal project with a capacity of 80 megawatts and the waste-to-energy power plant in Legok Nangka with a capacity of 35-40MW.

"Indonesia also provides policy support for Special Economic Zones and the Job Creation Law," stated Coordinating Minister Airlangga.

On this occasion, Coordinating Minister Airlangga also announced that Indonesia is offering 21 sustainable green infrastructure projects as potential investment opportunities at this IPEF meeting, 19 of which are pipeline projects.

"Two projects are already in the ready category, namely the Green Refinery Cilacap valued at $860 million and the Green Refinery Plaju in South Sumatra, also valued at $860 million," Airlangga said. (fsr)

This article was published in collaboration with Coordinating Ministry for  Economic Affairs Republic of Indonesia

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