RI GOVT COMMITTED TO STEPPING UP RENEWABLE ENERGY USE
REPUBLIKA.CO.ID, JAKARTA -- Acting Energy and Mineral Resources Minister Luhut Binsar Panjaitan said Indonesia is committed to reducing fossil energy usage and switching to the use of renewable energy.
Fast depleting fossil energy resources have also prompted Indonesia to further focus on increasing renewable energy use while improving energy efficiency, Luhut said here on Tuesday.
At the United Nations Summit on Climate Change in 2015, Indonesia has committed to reducing greenhouse gas emissions by 29 percent by 2020 and 41 percent after 2020.
"For that, cooperation between countries is necessary, particularly for the development of renewable energy, including waste management into a source of energy," he stated.
In order to realize the government's target of reducing energy intensity to 1 percent per year, Luhut, who is also the Coordinating Minister of Maritime Affairs, said strong participation and commitment of all stakeholders is needed.
Therefore, he continued, the government has implemented policies and regulations to encourage the development of renewable energy and to achieve energy conservation targets.
These efforts include increasing the use of biodiesel blends in power plants, providing a feed-in tariff for small-scale renewable energy power plants and subsidizing electricity, which is generated from renewable energy purchased by state-owned electricity company, PLN.
The government will also provide fiscal instruments, including tax incentives to support renewable energy projects, run an energy-saving campaign, affix labels on household appliances for energy efficiency improvement, and establish economic packages to improve the ease of doing business in Indonesia.
Luhut said it is not easy for Indonesia to meet the target of increasing renewable energy consumption and reducing its greenhouse gas emissions without the support of the private sector.
"The government is committed to providing ongoing support to the private sector to build more renewable energy projects. We will also support research for renewable energy development in order to reduce dependence on imports," he noted.