Doubt over plan to retire fossil fuel plants in 15 years


Less is more: A file photo showing barges fully loaded with coal on the Mahakam River in Samarinda, East Kalimantan. Indonesia is one of the world’s largest producers and consumers of heavily polluting coal. — AP

President Prabowo Subianto has announced that his government plans to retire all coal and other fossil fuel-power plants while drastically boosting the country’s renewable energy capacity in the next 15 years.

“Indonesia is rich in geothermal resources, and we plan to phase out coal-fired and all fossil-fuelled power plants within the next 15 years. Our plan includes building over 75 gigawatts of renewable energy capacity during this time,” Subianto said at the Group of 20 summit in Brazil on Tuesday.

Subianto also said he was “optimistic” Indonesia would achieve net zero emissions by 2050, a decade sooner than the country’s previous 2060 commitment.

Experts and environmental activists welcomed the announcements but hedged their expectations.

Indonesia is one of the world’s largest producers and consumers of heavily polluting coal. Most of its energy comes from fossil fuels.

Over 250 coal-fired power plants are currently powering the country and more are being built, including at new industrial parks where globally-important materials like nickel, cobalt and aluminum are being processed.

In 2022, Indonesia’s energy sector emitted over 650 million tonnes of carbon dioxide, the world’s seventh highest level, according to the International Energy Agency. Population and economic growth are expected to triple the country’s energy consumption by 2050.

Experts said that real changes need to be implemented on the ground in Indonesia quickly if the president is serious about his plans.

“If the government is serious about speeding up the energy transition, efforts to shut down coal-fired power plants and prevent new permits for the construction of coal-fired power plants must be clear so that partners, investors and financial institution can see the pipeline and progress,” Bhima Yudhistira, executive director of the Indonesia-based Center of Economic and Law Studies, said.

While Subianto’s predecessor, Joko Widodo, was in office Indonesia pledged to phase out – or at least drastically reduce – the use of coal by agreeing to numerous schemes with international stakeholders. — AP

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