Indonesia rolls out $20b JETP investment, policy plan

It aims to achieve 44% of renewables share by 2030.

The Indonesian government has launched the Comprehensive Investment and Policy Plan for the $20b Just Energy Transition Partnership, laying out the roadmap for the country’s energy transition.

In a statement, Coordinating Minister for Maritime Affairs and Investment (Menko Marves) Ad Interim Erick Thohir said the plan considered the challenges in implementing the transition, covering the technical, financial, policy and social justice.

"The launch of this CIPP document marks an extraordinary collaboration between Indonesia and partners who have a common vision to develop Indonesia. This is an important commitment to maintain world economic growth," Thohir said.

“The aim is none other than to implement ambitious decarbonization commitments, as well as develop a strong and established economy. This commitment is in line with our national Blue Print, namely 'Golden Indonesia Vision 2045', which outlines a number of targets for Indonesia's national interests and global interests, especially to open inclusive access to clean energy in order to be able to improve the quality of human resources (HR), encourage economic growth, to eradicate poverty," he added.

Indonesia targets to cut its on-grid system emissions to no more than 250 metric tonnes of carbon dioxide from a baseline of 305 metric tonnes. It also targets to achieve 44% renewable energy generation share by 2030, the US Embassy & Consulate in Indonesia said in a statement.

The country will receive $10b in financing from the International Partners Group which includes the US, Japan, Canada, Denmark, the European Union, Germany, France, Norway, Italy, and the UK for the JETP. The Glasgow Financial Alliance for Net Zero will facilitate the remaining $10b in financing.