Jakarta – The government, through the Ministry of Energy and Mineral Resources, is committed to re-evaluating energy policies, including preparing the National Electricity General Plan (RUKN), according to a statement from the ministry on Monday, December 9. In this regard, the House of Representatives will be actively involved as part of the mandate given by the Constitutional Court.
“We will immediately coordinate with the DPR to ensure that the RUKN is in line with the National Energy Policy, as required by the Constitutional Court’s decision,” Director General of Electricity at the Ministry of Energy and Mineral Resources, Jisman P Hutajulu, said in a statement.
On November 29, the Constitutional Court (MK) rejected the practice of separating electricity business activities or unbundling by issuing a decision that has a major impact on electricity management in Indonesia. This decision was outlined in Decision Number 39/PUU-XXI/2023, which requires the activities of electricity generation, transmission, distribution and sales to be carried out in an integrated manner following the principles of energy management stipulated in Article 33 of the 1945 Constitution.
The decision also cancelled the legal force of the phrase “may” in Article 10, paragraph (2) of Law No. 6 of 2023 on Job Creation. This decision is a new reference for electricity governance, which is considered to be more in favour of efficiency and the interests of the wider community.
“With this decision, electricity governance returns to the principle of integration, ensuring that all electricity activities are not fragmented for the sake of efficiency and equitable access to electricity,” said Jisman.
The government is also reviewing regulations related to electricity supply so that future policies continue to provide legal certainty to investors without violating the principle of electricity business integration. “We want this new policy to not only fulfil the mandate of the Constitutional Court but also maintain a conducive investment climate and support the growth of the downstream industrial sector, which is a national priority,” he added.
Jisman explained that the government will involve legal experts and business players in formulating a fair transition policy, especially regarding the impact on private businesses that have invested in the electricity sector under a separate approach. “We will formulate a comprehensive transition step so that this change does not interfere with the ongoing business operations of electricity supply but remains in line with the Constitutional Court’s decision,” said Jisman.
He said that electricity is a branch of production that controls many people’s lives, so it must remain under state control. The government ensures that it not only maintains energy sovereignty but also guarantees equitable access to electricity for all Indonesians.
“We appreciate every input from the public, academics, and business actors. All views will be considered in taking strategic steps going forward,” he concluded. (Hartatik)
