Indonesia Opens Energy Transition Dialogue to Drive Green Growth

  • The Indonesia Energy Transition Dialogue (IETD) 2025 in Jakarta focuses on turning the energy transition into a driver of investment, resilience, and inclusive green growth.
  • The event emphasises political commitment, policy consistency, and international cooperation as crucial to achieving Indonesia’s clean energy ambitions.

Indonesia launched the Indonesia Energy Transition Dialogue (IETD) 2025 in Jakarta on October 6, 2025, signalling a renewed push to turn the energy transition into a cornerstone of sustainable economic growth. The Institute for Essential Services Reform (IESR) and the Indonesia Clean Energy Forum (ICEF) organised the three-day event under the theme “Realising an Impactful Energy Transition.”

Meanwhile, ICEF Chair Prof. Mari Elka Pangestu said the energy transition goes beyond replacing fossil fuels with renewables. She described it as a paradigm shift toward a resilient, equitable green economy, driven by consistent policies and strong political will. “For the energy transition to be effective, it requires political commitment and policy consistency at both central and regional levels,” she said, calling for a country platform to coordinate international funding and support.

Prof. Mari also urged energy subsidy reforms, stronger fiscal incentives, and carbon regulations through carbon taxes and emissions trading systems. She said the ongoing revision of Presidential Regulation No. 98/2021 on carbon economic value would define the future direction of Indonesia’s carbon market.

In addition, the British Embassy in Jakarta, through its Green Energy Transition Indonesia (GETI) initiative, reaffirmed its support for Indonesia’s clean energy agenda. Matthew Downing, Chargé d’Affaires, said the UK is ready to partner with Indonesia to advance its 100% renewable energy target within the next decade. The cooperation builds on a new strategic partnership between both countries, which was agreed upon by President Prabowo and the UK Prime Minister in late 2024.

In delivering a keynote address, former Indonesian President Susilo Bambang Yudhoyono (SBY) stressed the need for bold leadership and long-term policy direction to navigate global uncertainties. “National resilience to energy price volatility and supply chain disruptions will determine the energy transition’s success,” he said.

Furthermore, Fabby Tumiwa, CEO of IESR, said accelerating the transition could unlock a new wave of economic growth. He urged the government to restructure the electricity market to attract private investment and improve access for new players. He outlined five economic pillars of the transition: investment in clean energy infrastructure, growth of green manufacturing, creation of green jobs, higher productivity and quality of life, and strengthened energy security.

“A rapid energy transition will enhance industrial competitiveness and support President Prabowo’s goal of achieving energy self-sufficiency,” Fabby said.

Through the IETD 2025, Indonesia is positioning the energy transition as a climate imperative and a strategic pathway toward an inclusive, sustainable, and investment-driven green economy.

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