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Indonesia plans over 20 energy projects in 2025

Indonesia remains heavily dependent on coal and is one of the world’s top greenhouse gas emitters. However, President Prabowo Subianto has pledged to phase out coal-fired power generation within 15 years and achieve net-zero emissions by 2050.

Last year, Indonesian President Prabowo Subianto committed to phasing out coal power generation over 15 years and reaching net-zero emissions by mid-century. (Photo: AFP)
Last year, Indonesian President Prabowo Subianto committed to phasing out coal power generation over 15 years and reaching net-zero emissions by mid-century. (Photo: AFP)

Jakarta (VNA) - Indonesia is set to launch more than 20 energy projects in 2025, with a total investment of around 40 billion USD, as part of efforts to boost domestic refining capacity and strengthen energy security.

Among the planned projects is a coal-to-dimethyl ether (DME) initiative aimed at reducing Indonesia’s reliance on imported liquefied petroleum gas (LPG). The country will also build a new oil refinery with a capacity of approximately 500,000 barrels per day and an oil storage facility.

According to Energy Minister Bahlil Lahadalia, the projects are part of a broader strategy to drive economic growth and create jobs. Funding will come in part from Danantara, Indonesia’s newly established sovereign wealth fund, which was launched last month and oversees more than 900 billion USD in assets.

Despite being Southeast Asia’s largest economy, Indonesia remains heavily dependent on coal and is one of the world’s top greenhouse gas emitters. However, President Prabowo Subianto has pledged to phase out coal-fired power generation within 15 years and achieve net-zero emissions by 2050.

In addition, Prabowo has aimed to increase Indonesia’s annual economic growth from the current 5% to 8% while ordering substantial budget cuts across government agencies./.

VNA
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