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Jakarta Post

‘Vicious devil’ of diesel subsidies hinders Indonesia’s renewable energy development

  • Norman Harsono

    The Jakarta Post

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Jakarta   /   Wed, December 18, 2019   /  07:45 am
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Renewable energy – Solar panels are installed in a resident settlement in Ponelo Island, North Gorontalo in this undated photo.(thejakartapost.com/Syamsul Huda M.Suhari)

The year 2019 has justified all the skepticism about Indonesia’s decarbonization efforts with progress remaining slow as the government continues to provide subsidies for dirty fuel. With only five years left, many renewable energy stakeholders are skeptical about Indonesia’s chances of achieving its goal to have renewables make up 23 percent of the energy mix by 2025, as stipulated in the General Planning for National Energy (RUEN) road map. “By the end of 2018, renewable energy contributed 8.6 percent to the national energy mix. In 2019, it will be more than 9 percent,” said Indonesian Renewable Energy Society (METI) chairman Surya Dharma at a convention in Jakarta in November. Indonesia’s transition to clean energy has been slowed by domestic energy policies that remain focused on increasing energy access by providing fuel subsidies. As its na...