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View all search resultsIndonesia’s solar push stutters on fossil fuel dependence, tight funding
A policy brief released on Thursday has warned against the “illusion of cheap coal-fired power” created by the domestic price cap and the continued reliance on fossil fuels threatens to derail the country's energy transition goals.
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A maintenance worker inspects a rooftop solar power system on Dec. 5, 2024, at Istiqlal Mosque in Central Jakarta.
(AFP/Bay Ismoyo)
T
he country’s persistent reliance on fossil fuels is constraining President Prabowo Subianto’s ambition to build solar power plants with a capacity of 100 gigawatts (GW) in just three years, researchers and an environmental group say, while officials highlight the challenges of securing sufficient funds to accelerate the clean energy transition.
A policy brief by the University of Indonesia Institute for Economic and Social Research (LPEM) and Greenpeace, released on Thursday, highlights the country’s increasing use of fossil fuels as indicative of a lack of readiness to achieve this goal.
The national renewable energy mix stood at just 16 percent last year. Between 2015 and 2024, its renewable energy capacity increased by only 4.4 GW, compared with a 25.9 GW increase in fossil fuel power plants.
Under the 2025-2034 Electricity Supply Business Plan (RUPTL), the country plans to increase capacity by 6.3 GW through coal-fired power plants and 10.3 GW from gas-fired and combined cycle power plants.
“The [100 GW solar energy] plan could be hindered by what we refer to as carbon lock-in, which we define as an energy system that remains bound to long-term use of fossil fuels due to technical and structural issues,” said Alin Halimatussadiah, head of green economy and climate change studies at the institute.
Read also: Prabowo pledges 100 GW solar energy target within three years
The contributing researchers found that coal was still the most affordable fuel in the domestic power sector.
