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Another year lost in the energy transition

As of October, renewables accounted for only 14.4 percent of the national energy mix, equivalent to 15.47 gigawatts (GW) of installed capacity.

Divya Karyza (The Jakarta Post)
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Tue, December 23, 2025 Published on Dec. 17, 2025 Published on 2025-12-17T08:03:59+07:00

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Useful heat: Fishermen use a solar power cooling system in Maratua, Berau regency, East Kalimantan. Useful heat: Fishermen use a solar power cooling system in Maratua, Berau regency, East Kalimantan. (JP/Syafrizaldi)

W

ith the year drawing to a close, Indonesia appears set to miss its renewable energy target in the national power mix again, the Energy and Mineral Resources Ministry acknowledged. The shortfall underscores drastic failure to fulfill national commitments in the energy transition, highlighting the persistent gap between progress on the ground and the ambitious green energy goals pledged by President Prabowo Subianto.

“One of the most critical barriers is the slow procurement process within [state utility firm] PLN, which has delayed the implementation of renewable energy projects and prevented them from progressing on schedule,” Mutya Yustika, an energy economist at the Institute for Energy Economics and Financial Analysis (IEEFA), said to The Jakarta Post on Dec. 15.

As of October, renewables accounted for only 14.4 percent of the national energy mix, equivalent to 15.47 gigawatts (GW) of installed capacity, falling short of the 15.9 percent target set out in PLN’s 2025-2034 electricity business plan (RUPTL).

Hydropower dominates the renewable segment, contributing 7.1 percent of the national mix with an installed capacity of 7.57 GW. Biomass power plants account for 3 percent (3.17 GW), followed by geothermal at 2.6 percent (2.74 GW). Solar energy contributes around 1.3 percent (1.37 GW), while wind power makes up about 0.1 percent (0.15 GW).

Indonesia’s power system remains dominated by fossil fuels which, coupled with electricity oversupply in key grids such as Java and Bali, has reduced the urgency for new renewable energy development.

“Compounding this is inadequate transmission and distribution infrastructure, which is not yet ready to integrate renewable energy at scale,” Mutya added.

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The Energy and Mineral Resources Ministry’s acting director general of electricity, Tri Winarno, expressed skepticism that the renewable energy targets in PLN’s latest electricity supply business plan (RUPTL) can be achieved.

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