Media Briefing: Recommendations from the ETP Forum

Overview

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As part of CPD’s work with the Energy Transition Policy Development (ETP) Forum in Indonesia, we recently joined our partners in Jakarta to host a media briefing on our key recommendations for the new Prabowo government as it navigates Indonesia’s energy transition.

Recommendations included reforms to Indonesia’s energy subsidies and improving access to renewable energy, raising environmental standards and strengthening institutional arrangements, and ensuring that the benefits of the energy transition reach remote and vulnerable communities.

The briefing and recommendations garnered considerable media interest across Indonesia, with coverage in leading outlets such as Kompas, Tempo, and Liputan6.

As the world’s two largest coal producers, Australia and Indonesia face shared challenges in the energy transition. There is immense opportunity for the two countries to work together and share expertise and lessons on effective energy transition. CPD will continue to work with our partners in the ETP Forum to promote a people-centred just transition in both nations.

Full Recommendations

Energy Subsidy Reform and Renewable Energy Access

  • Transform Energy Subsidies: Shift from broad, commodity-based subsidies to direct, targeted subsidies that reach those most in need.
  • Improve Access to Clean Energy: Prioritise bringing reliable, renewable energy to remote areas by establishing community-based microgrids, mini-grids, and off-grid solutions.

Governance and Regulation for Energy Transition

  • Strengthen Regulatory Independence: Separate the regulatory and business functions within the energy sector to promote clean energy adoption.
  • Enhance Institutional Coordination: Foster stronger institutional frameworks that integrate energy policies across sectors, enabling a more inclusive and effective transition.
  • Expand Carbon Economic Value (CEV): Extend the CEV concept beyond the electricity sector to cover other high-emission industries, incentivising emissions reductions and fostering sustainable practices across the economy.

Commitment and Investment for Net-Zero

  • Accelerate Renewable Energy and Efficiency: Set ambitious targets to triple renewable energy capacity and double energy efficiency by 2030, setting Indonesia on a clear path toward a low-carbon future.
  • Pledge to a Long-term Net-Zero Strategy: Commit to achieving net-zero emissions by 2060—or ideally, sooner. This includes substantial investment in R&D for green technologies to drive innovation and create a competitive green economy.

Environmental Standards and Social Impact

  • Enforce High Environmental Standards: Ensure that industries involved in extraction, particularly for critical minerals, adhere to strict environmental standards.
  • Prioritise Social Equity in Transition: Address human and social impacts, including gender equality, disability, and social inclusion (GEDSI), at every stage of the energy transition.

Documents from media briefing (Bahasa Indonesia)

About the Energy Transition Policy Development Forum

The ETP Forum comprises CPD, Climateworks Centre, the Indonesian Research Institute for Decarbonisation, the Institute for Essential Services Reform, the Purnomo Yusgiantoro Centre and the International Institute for Sustainable Development, and was established in 2022. The ETP Forum helped coordinate support to Indonesia’s G20 Presidency in 2022 and ASEAN Chairship in 2023.

ETP Forum in the media

Centre for Policy Development (CPD) menilai pemerintahan Prabowo perlu mengurangi ketergantungan masyarakat akan subsidi energi fosil untuk dapat melaksanakan percepatan transisi energi di Indonesia.
Sebanyak enam lembaga think-tank yang tergabung di dalam Energy Transition Policy Development Forum kompak menilai bahwa pemerintahan Presiden Prabowo Subianto membutuhkan komitmen kuat untuk menciptakan transisi energi yang adil dan berkeadilan. Tak sekadar transisi, tapi juga percepatannya.
Waktu terbaik untuk mengoreksi kebijakan subsidi energi salah sasaran adalah dua tahun pertama pemerintahan Prabowo. Belajar dari pengalaman pemerintahan sebelumnya, ruang politik bagi pemerintah untuk bisa mengeksekusi kebijakan reformatif yang biasanya tidak populer itu tersedia di dua tahun pertama pemerintahan.
Pemerintahan Prabowo-Gibran telah menempatkan ketahanan energi melalui pemanfaatan energi bersih sebagai salah satu prioritas utamanya dalam pidato inaugurasinya di Gedung MPR/DPR pada Minggu, 20 Oktober 2024. Namun, lambatnya pengembangan dan investasi energi bersih di Indonesia dalam lima tahun terakhir menjadi
Pemerintahan Baru telah menempatkan ketahanan energi melalui pemanfaatan energi bersih sebagai salah satu prioritas utamanya dalam pidato inaugurasinya di Gedung MPR pada hari Minggu, 20 Oktober 2024. Namun, lambatnya pengembangan dan investasi energi bersih di Indonesia dalam lima tahun terakhir

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