Indonesian President Prabowo Subianto’s pledge to phase out coal plants within 15 years is a challenging but achievable goal, according to analysts, provided there is strong political will, sufficient financing, and the right technology to support the nation’s energy transition.
As a signatory to the Paris Agreement, Indonesia has committed to reaching net-zero emissions by 2060 and increasing its renewable energy capacity. However, during the G20 Summit in Brazil on November 19, Prabowo announced that the country aims to reach net-zero emissions by 2050, retire all coal plants in the next 15 years, and add 75 gigawatts of renewable energy.
“While this goal is ambitious, with the right planning, policies, investment, and international support, Indonesia has the potential to phase out all coal-fired power plants within 15 years and replace them with renewable energy sources,” said Mutya Yustika, an energy finance specialist at the Institute for Energy Economics and Financial Analysis.
A report from Ember, an independent global energy think tank, highlighted that Indonesia must add 8 gigawatts of renewable energy each year and reduce coal usage by 3 gigawatts annually to meet its goal of phasing out coal plants by 2040. The country also needs to integrate 4 gigawatt-hours of battery storage annually to ensure maximum use of solar energy, especially during peak demand periods when solar power is not available.
“Phasing out coal by 2040 would help Indonesia align with the global 1.5°C climate target and mark a key step toward a sustainable, low-carbon future,” said Dinita Setyawati, Ember’s senior electricity policy analyst for Southeast Asia. She emphasized that the government must issue “clear and comprehensive guidance” on coal plant retirements to demonstrate Indonesia’s commitment.
Putra Adhiguna, managing director of the Energy Shift Institute in Jakarta, welcomed Prabowo’s goal but stressed that achieving it will require strong commitment. He called for near-term targets to be established in Indonesia’s electricity plans.
Coal remains crucial to Indonesia’s economy, providing electricity to millions and driving exports. However, it is responsible for nearly 60% of the country’s total emissions, according to the International Energy Agency.
Setyawati also noted that the government must adjust domestic coal pricing mechanisms to make renewable energy more competitive.
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