We will no longer accept a proposal for new coal-fired power plant. Thus, the existing project under the electricity procurement plan is an ongoing one.
Jakarta (ANTARA) - The Indonesian Government will no longer accept a proposal for new coal-fired power plant, as the future national energy policy will focus on new and renewable energy and green economy, according to an official.

“We will no longer accept a proposal for new coal-fired power plant. Thus, the existing project under the electricity procurement plan is an ongoing one,” Director General of Electricity at the Energy and Mineral Resources Ministry Rida Mulyana stated at the Tempo Energy Day 2021 monitored in Jakarta on Thursday.

According to the electricity procurement plan for the 2021-2030 period, the ongoing project is a coal-fired powered plant, with a capacity of 35 thousand megawatts.

According to the roadmap endorsed on September 28, 2021, the capacity of fossil fuel-fired power plants in the subsequent decade is projected to increase by 19.6 gigawatts, or 48.4 percent. Meanwhile, the capacity of new and renewable energy-based power plants is estimated to rise by 20.9 gigawatts, or 51.6 percent.

To expedite the construction of additional power plants, with a capacity of 40.6 gigawatts, in the subsequent decade, the government will allow independent power producers (IPP) to develop new and renewable energy-based power plants.

Mulyana noted that the government was in the process of conceiving the so-called early retirement program for coal-fired power plants currently operating in the country.

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In addition to halting permits for new coal-fired power plants, the government necessitates the existing coal-fired power plants to use biomass as fuel mix until the early retirement program takes effect.

"After 2030, no fossil fuel-fired power plant construction will take place, and all power plants will be new and renewable energy-based,” he stated.

According to the mandate of Law No. 16 of 2016 on the Ratification of the Paris Agreement, Indonesia remains committed to lowering greenhouse gas emissions by 29 percent on its own and 41 percent with international support by 2030.

The energy sector is expected to contribute to lowering carbon emissions by 314 million-398 million tons through the development of renewable energy, efficient energy usage, energy conservation, and application of clean energy technology.

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Translator: Sugiharto Purnama, Suharto
Editor: Rahmad Nasution
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