Renewable Energy in Indonesia

There are various forms of renewable energy resources available in Indonesia, ranging from hydro to geothermal power. Despite this, coal remains as the main resource for power plants in the country.

Recent initiatives suggest that the Indonesian government is seeking to diversify its energy sources. Notably, the Minister of Energy and Mineral Resources issued the new Plan for the Provision of Electricity (“RUPTL”) 2018-2027 which includes a focus to increase renewable energy output. So whilst traditional sources of power generation are dominant, this 10-year electricity development plan includes a specific focus on the development of renewable energy sources.

We set out below a brief summary of the regulatory regime for the renewable sector in Indonesia and some topical issues relating to the renewables sector.