Jokowi: Energy transition needs innovative financing schemes

Jakarta – President Joko Widodo said the energy transition requires innovative financing schemes through profitable and sustainable partnerships. In his remarks at the ASEAN Indo-Pacific Forum 2023, the President said that this financing scheme is one of the three agendas discussed in the forum, which was formed to face global and geopolitical challenges.

An investment of up to USD 29.4 trillion is needed to realise the energy transition between countries in the ASEAN region until 2050, according to projections by the International Renewable Energy Agency (IRENA). The forecast aligns with the scenario to prevent a 1.5-degree Celsius rise in the earth’s temperature with a 100% renewable energy scheme.

Previously, Minister of Energy and Mineral Resources (EMR) Arifin Tasrif said the funds are needed for the development of renewable energy generation, transmission (national and international), distribution and storage, biofuel supply, electrification (EV cars and EV chargers), as well as in considering a broader cost perspective that includes fuel, operation and maintenance costs.

In addition to the energy transition, the forum’s agenda includes green infrastructure and resilient supply chains, digital transformation and the creative economy.

For digital transformation and creative economy, President Widodo projects that by 2030, the digital economy in ASEAN will reach USD 1 trillion. The ASEAN Indo-Pacific Forum has collected 93 cooperation projects worth USD 38.2 billion and identified 73 potential projects worth USD 17.8 billion. (Hartatik)

Banner photo: President Joko Widodo gave his speech at the opening of the ASEAN Indo-Pacific Forum in Jakarta, 5 September 2023. Source: State secretariat 

Like this article? share it

More Post

Receive the latest news

Subscribe To Our Weekly Newsletter

Get notified about new articles