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Indonesia Targets $3.91 Billion in Clean Energy Investment by 2022

Antara - 17 January 2022 19:51 WIB
Indonesia Targets $3.91 Billion in Clean Energy Investment by 2022
Realization of this investment contributes to economic growth.
Jakarta: The Ministry of Energy and Mineral Resources (ESDM) is optimistic of being able to achieve the investment target of US$3.91 billion in the clean energy sub-sector this year.

"The 2022 target is $3.91 billion. We are hopeful of a significant amount of investment in the geothermal sector and various new renewable energies (such as water, wind, and solar)," Director General of New Renewable Energy and Energy Conservation of the ministry Dadan Kusdiana stated here on Monday.

 



Kusdiana explained that the investment realization target of US$3.91 billion comprised $0.95 billion in the geothermal sector, $2.79 billion in various new and renewable energies, $0.16 billion in bioenergy, and $0.01 billion in energy conservation.

During 2021, the government recorded that the realized value of the new renewable energy (EBT) and energy conservation sub-sectors had reached $1.51 billion, comprising $0.68 billion in geothermal, $0.48 billion in various new and renewable energies, $0.34 billion in bioenergy, and $0.01 billion in energy conservation.

Realization of this investment contributes to economic growth, absorption of the national workforce, and national economy recovery during the COVID-19 pandemic.

An addition in the new and renewable energy generation capacity of 1,730 megawatts was recorded in the last five years, with an average increase of 4.3 percent per year.

In 2021, the clean energy generation capacity increased by 654.78 megawatts, thereby bringing the provisional figure for the new renewable energy mix to 11.5 percent as compared to 11.2 percent in the previous year.

This year, the government will take six steps to accelerate the development of clean energy in Indonesia through completing the presidential regulation on the price of new and renewable energy, implementing the Minister of Energy and Mineral Resources Regulation on Rooftop Solar Power Plants, making biofuels mandatory, providing fiscal and non-fiscal incentives for clean energy, facilitating ease of business licensing, and encouraging the demand for electrical energy.

(WAH)

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