Govt seeks community’s support for energy transition program
ANTARANEWS

Govt seeks community’s support for energy transition program

  • Admin Pijar Foundation
  • 26 Oktober 2022
  • Eksposur
The Coordinating Ministry for Maritime Affairs and Investment expects all societal levels to partake in supporting the energy transition program.

"People's lifestyles are also expected to support the energy transition, starting from reducing single-use plastics to starting to use means of mass transportation or electric vehicles," the ministry's Deputy for Infrastructure and Transportation Coordination, Rachmat Kaimuddin, noted at the Global Future Fellows (GFF) online press conference followed from Jakarta on Tuesday.

Kaimuddin remarked that the government continued to encourage energy transition through the use of clean energy, in line with the emission reduction target and pursing the realization of net-zero emissions and carbon neutrality targeted by 2060.

The government is also striving to accelerate the energy transition process, including by increasing the use of electric vehicles in all sectors.

Apart from tax incentives, the government will make the price of electric vehicles more competitive to be easily accessed by the entire community.

"The market will grow in line with the increasing demand," Kaimuddin affirmed.

On the same occasion, the Deputy for Investment Planning at the Ministry of Investment, Indra Darmawan, remarked that the government continued to achieve an adequate portion of funding for the energy transition program.

"There is a financing gap of up to Rp250 trillion per year, at least until 2030, for the cost of transitioning to clean energy. We must work on other funding sources," he stated.

Darmawan said the use of energy must continue to be pursued to switch from fossil energy to clean and environmentally friendly energy.

The sources of financing for energy transition funding include the issuance of sukuk or green bonds, blended finance, and collaboration with international institutions.

In addition, Indonesia introduced the Energy Transitions Mechanism (ETM) in collaboration with the Asian Development Bank (ADB) to seek funding or find investors for financing energy transition in the country.

"ETM will end coal's position in the energy sector, in line with the long-term plan towards net-zero emissions. Those are efforts to close the gap. We must become innovative and collaborative," Darmawan stated.

Global Future Fellows (GFF) had been initiated by Pijar Foundation in order to encourage energy transition efforts in Indonesia.

GFF, themed "Safeguarding Indonesia's Energy Transition," provides a space for knowledge exchange among 36 Indonesian professionals from the public, private, and community sectors about synergistic, strategic, and consolidated areas to be incorporated into joint action plans.

Source: https://en.antaranews.com/news/251953/govt-seeks-communitys-support-for-energy-transition-program
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