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COP28: Indonesia to push for climate financing commitments from developed countries

Highlights

President Joko Widodo to seek inclusive transition at COP28

Forest and Other Land Use sector to play key role in emissions reduction

To increase renewable energy capacity to 480 GW by 2060

  • Author
  • Anita Nugraha
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  • Surbhi Prasad
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  • COP28 News Energy Transition

Indonesia will push for "real commitments" to be strengthened at COP28, especially from developed countries for climate financing, and seek an "inclusive" energy transition, President Joko Widodo said in a statement late Nov. 30 while heading for the UN Climate Change Conference in Dubai.

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"In this COP28 summit, I will share Indonesia's experiences and underscore the importance of global collaboration for climate financing, as well as the significance of an inclusive transition to ensure the sustainability of development and the well-being of communities in developing countries," according to the statement from the presidential office.

Under its Nationally Determined Contribution (NDC) document in 2022, Indonesia has targeted to reduce greenhouse gas emissions by 31.89% by 2030 with its own capabilities or 43.2% with international support.

Indonesia's Minister of Environment and Forestry Siti Nurbaya said the country will highlight its climate actions including plans to meet 2030 and 2060 emission reduction targets, reducing deforestation and ensuring that the Forest and Other Land Use (FOLU) sector plays a significant role in achieving a 60% reduction in emissions.

State power utility plan

Indonesia has successfully decreased emissions in the energy sector by 716 million mt of CO2, achieving a 60% reduction through diverse measures, according to state power utility PLN's statement on Nov. 30.

Darmawan Prasodjo, CEO of PLN, who is also attending COP28, said Indonesia's energy transition is needed to sustain the current rapid economic growth momentum with environmentally friendly and affordable energy.

He said that the company has drafted the Accelerating Renewable Energy Development (ARED) scheme to increase renewable energy capacity to 480 GW by 2060. Under the plan, PLN's generation capacity additions until 2040 will be 75% from renewable energy, and 25% from gas.

PLN also plans to build a smart network to deliver electricity from isolated renewable energy projects to major load centers in big cities.

"Why do we need to develop this infrastructure? Because it is essential to maintain balance in the PLN system when intermittent renewable energy electricity enters. This also allows us to increase the system's capacity to accommodate wind and solar renewable energy electricity up to 28 GW," he added.

On the distribution side, PLN is building solar PV factories, carbon markets, and electric vehicle infrastructure.

In the transportation sector, PLN is working with automotive companies to build 1,000 charging stations and 1,900 battery exchange centers as soon as possible to significantly reduce emissions from the transportation sector.

Hilmi Panigoro, CEO of petroleum exploration company MedcoEnergi, said the company intends to reach net zero equivalent by 2050 by incorporating technology, reducing CO2 footprint in manufacturing operations and transition mining fuels from coal and solar to a combination of gas, solar, and wind, with a completion date of end-2025.

The company is involved in studies and research in hydrogen and carbon capture and storage with international corporations and government organizations.

Panigoro said MedcoEnergi is now using gas as a transitional source, and is aggressively producing and developing solar and geothermal energy.