Jakarta – The Just Energy Transition Partnership (JETP) officially launched its Comprehensive Investment and Policy Plan (CIPP) document on Tuesday, reports said, marking a significant milestone in Indonesia’s journey towards a sustainable and green energy future. The launch comes 20 days after the draft document was released for public input on November 1.
Headed by Edo Mahendra, the JETP Secretariat announced a shift to implementation mode for the ambitious $20 billion funding earmarked for the energy transition initiative, Kompas Daily reported.
The CIPP document outlines a roadmap for implementing various scenarios analysed, identifying the funding needs critical for achieving the outlined goals.
The primary objective of the CIPP is to propel Indonesia towards a cleaner and more sustainable energy mix. By 2030, the document aims to achieve a renewable energy generation capacity of 44%, with the total emissions from the PLN grid-connected electricity sector peaking at 250 million tons of carbon dioxide in the same year. Furthermore, the plan sets an ambitious target for carbon neutrality or net zero emissions (NZE) in the power sector by 2050.
JETP allocated funding to priority projects that include the construction of electricity networks, renewable energy sources development such as solar power plants (PLTS), and the early retirement of new coal-fired power plants.
Edo Mahendra emphasised that the CIPP is not a government policy document but an investment proposal focusing on equitable energy transition. He stated, “All modelling analysis and recommendations here are suggestions that the Indonesian government can consider,” highlighting the document’s consultative nature. The CIPP is designed as a living document to be updated annually, ensuring adaptability to evolving circumstances.
Ad Interim Coordinating Minister for Maritime Affairs and Investment, Erick Thohir, commended the CIPP JETP document for providing a strategic roadmap for Indonesia’s energy transition. Thohir stressed the government’s commitment to overcoming challenges, including technical, financial, policy, and social justice aspects. He outlined three essential steps to encourage energy transition in Indonesia.
The first step involves the development of renewable energy to decarbonise electricity and industry, coupled with establishing a robust domestic renewable energy supply chain. The second step focuses on promoting green industrialisation and green economy-based industrial estates supported by green energy sources and critical minerals. The third step aims to encourage electrification in key sectors, such as transportation, to reduce emissions intensity, foster new industries, and create jobs.
Thohir concluded, “2030 is less than seven years away. According to the mutual agreement, Cooperation must be accelerated to implement priority projects.” The CIPP JETP document sets the stage for a sustainable energy future in Indonesia, marking a crucial step toward environmental stewardship and economic growth. (nsh)
