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Indonesia Towards Net Zero Emission (NZE) and All Its Challenges


Minister of Energy and Mineral Resources, Arifin Tasrif, stated that fossil energy will remains used as temporary energy sources during the transition period to Net Zero Emission (NZE) in Indonesia.

In this case, oil and gas, as well as coal will be intermediary energy sources for transportation before it is replaced by electric vehicles. In addition, natural gas can also be used as transitional energy before shifting to 100% Renewable Energy (RE) in power plant.

As we know, President Joko Widodo stated that Indonesia will reach Net Zero Emission (NZE) by the year 2060 or earlier. Therefore, the government is striving to reduce the consumption of coal as energy sources with CCS/CCUS technology (Carbon Capture, Utilization and Storage), development of Dimethyl Ether (DME) as LPG replacement, as well as increasing mineral added value through domestic downstream.

Energy transition is a long process which should be carried out by countries in the world to reduce carbon emission which cause climate change. The agreement in the energy transition aims to reach the same objectives, namely increasing the use of clean energy. 

President Joko Widodo (Jokowi) stated that energy transition will lead to many changes, so that an appropriate energy is needed to identify emerging challenges. According to him, there are three major challenges in the energy transition which need attention from all parties, namely related to clean energy, funding and research, and technology support. The goal is to carry out a fair and equitable low-carbon energy transition properly.

Besides, in a virtual 'Just Energy Transition' Indonesia S20-G20 High-Level Seminar, Jokowi also mentioned that to support the energy transition, various preparations, competencies and expertise are needed, from primary to university level, to ensure the availability of qualified human resources.


By Corporate Communication PT ABM Investama Tbk