Rural electrification tops agenda as MEMR budget soars to Rp21 trillion

Jakarta – The Ministry of Energy and Mineral Resources (MEMR) said that in 2026, the budget for the energy sector will jump to Rp21.67 trillion, or almost three times the initial ceiling for that year of Rp8.12 trillion.

This increase is aimed at accelerating the realisation of President Prabowo Subianto’s vision, particularly in improving access to electricity for rural communities. Deputy Minister of Energy and Mineral Resources Yuliot said in a working meeting with Commission XII of the Indonesian House of Representatives in Jakarta on Wednesday, September 3, that the additional budget would be focused on the Rural Electrification Program (Lisdes), which is one of the keys to equitable energy development.

“The additional Rp8.55 trillion in the 2026 fiscal year will mostly be used to continue accelerating the President’s vision and mission. Of that amount, around Rp5 trillion is allocated for the construction of Lisdes infrastructure in 1,135 locations,” explained Yuliot.

He added that this budget will also be used for other priority programs, including the development of urban gas networks, oil and gas and coal exploration activities, and new electricity connections for underprivileged communities.

Initially, the MEMR ceiling for 2026 was only Rp8.12 trillion, with a composition of Rp4.82 trillion in pure rupiah (RM), Rp2.69 trillion in non-tax state revenue (PNBP), and Rp0.61 trillion in public service agencies (BLU). However, during discussions on the RKA-K/L, it was agreed that there would be a significant increase to a total of Rp21.67 trillion.

Energy infrastructure for the community

In addition to Lisdes, MEMR has also prepared several community-based programs. For example, providing converter kits for fishermen, constructing household gas networks (jargas), and distributing new electricity connections.

Meanwhile, part of the additional funds will be used for strategic self-managed activities. These include oil and gas studies in 10 open areas, promotion of oil and gas working areas, and mineral and coal exploration, with a target of 9 to 10 locations for each recommendation.

Commission XII of the Indonesian House of Representatives has expressed its support for this additional budget. According to Yuliot, the increase in the MEMR budget must be directed towards closing the electrification gap that is still experienced by villages in remote areas.

“The electrification ratio is indeed high, but there are still people who do not have access to electricity. The Lisdes program must ensure that they are not left behind in national energy development,” he said.

President Prabowo’s vision emphasises equitable, affordable, and sustainable energy availability. Through the Lisdes program, the government hopes to achieve an electrification ratio of nearly 100 per cent by 2026. (Hartatik)

Banner photo: shutterstock

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