An Analysis of the Possibility to Achieve the Specified Indonesian Renewable Energy Development Target

Abstract

Is it possible to achieve the specified Indonesian renewable energy development target?
An analysis of constraints and recommendations for accelerating the development of renewable energy in Indonesia

Indonesia has ratified a number of international agreements, for instance on Global Climate Change and Sustainable Development Goals, and has also announced its long-term National Energy Policy (through Presidential Decree No. 79/2014), and well as published its 3rd Mid-Term National Development Plan (2015-2019). All the policies/plans point to the necessity of developing renewable energy (RE) for the country having significant and diverse reserves of RE. However, at present the share of RE in the national energy mix is merely about 8 percent, or it seems to be very difficult for the country to achieve the target of 23 percent RE share in 2025 national energy mix, as set by the National Energy Policy.

This paper analyzes factors that hinder the achievement of the target of RE development in Indonesia, taking also into account the country’s policies on fossil fuels development, and clustered by regions. Based on the analyses and by making comparisons with other countries, this paper recommends things/strategies that must be developed, especially with regard to institution, regulation, and pricing/financing issues for Indonesia's energy transition to be able to deploy more RE projects and approaching the target set in the future.



Author Information
Hanan Nugroho, National Development Planning Agency, Indonesia
Dedi Rustandi, National Development Planning Agency, Indonesia

Paper Information
Conference: IICSEEHawaii2020
Stream: Clean and Affordable Energy

This paper is part of the IICSEEHawaii2020 Conference Proceedings (View)
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