Indonesia Energy

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To ensure energy security and meet growing demand for electricity, the Indonesian government is looking to expand its generation capacity through a mix of traditional and alternative sources, including geothermal and new coal technology.

Incentives such as import tax reductions and feed-in tariffs could help lead Indonesia’s drive to boost investment in the country’s underachieving renewable energy sector. 

What should be prioritised under the new government to boost mining sector performance and attract new long-term investors to the country?

Though Indonesia was not a major coal exporter until well into the 1990s, the country’s coal producers have made up for lost time by rapidly boosting their shipments. Along the way, they have ascended to the top spot in the seaborne coal hierarchy, surpassing Australia in 2011 and maintaining the lead position through boom and bust cycles.

Endowed with ample mineral and coal resources that have yielded some of the most productive mines in the world, Indonesia’s mining sector continues to exert substantial influence on both the domestic economy and global markets. The world’s largest coal exporter, Indonesia continues to lead the seaborne market despite several leaner years due to weaker demand and softer prices...

Throughout the 2014 campaign for the presidency, Joko Widodo, the eventual winner, stressed the need to bring new blood into a system widely perceived as broken and corrupt. With Widodo now in the driver’s seat, the optimism and hope that often follow a change in leadership is coming to a head during his first year of office. The big questions on everyone’s mind are whether...

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