After nickel, we will encourage investment for the downstreaming of bauxite, copper, and tinJakarta (ANTARA) - Indonesian President Joko Widodo (Jokowi) has said he expects the Business 20 (B20), as one of G20’s outreach groups, to expedite eco-friendly energy transformation -- one of the main focuses of Indonesia’s 2022 G20 Presidency.
"We expect that B20 can assist to accelerate energy transformation without causing negative impacts for disadvantaged communities," he said while officially inaugurating the B20 Inception Meeting, virtually, from the Bogor Presidential Palace, West Java province, on Thursday.
Global funding and partnerships for realizing eco-friendly technology transfer to encourage green economy-based production must be the main concern of the B20, he added.
"We welcome any investments which can encourage the establishment of mutually beneficial added value," he remarked.
He also invited the G20 and B20 members to collaborate to create breakthroughs and concrete actions for global economic recovery.
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In line with the main focus of Indonesia's 2022 G20 Presidency, the President noted that there are three main opportunities that must be optimized.
“The opportunities comprise realizing a green economy transition, accelerating the implementation of digital economy, and building a more responsive global health architecture,” he said.
The transition to sustainable green economy is both a big social responsibility and economic opportunity, he added.
Hence, the development of renewable energy potential must be planned with a clear roadmap, including on the funding and investment aspect, Widodo said.
"Indonesia has 418 gigawatts of renewable energy potential, including from water, geothermal, wind, and solar energy," he informed.
The government is encouraging the retiring of coal-fired steam power plants (PLTUs) in Java and Sumatra islands, he said. The PLTUs are being pushed to switch to new and renewable energy, such as geothermal and solar energy, he added.
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"We welcome the private sector to invest in the energy transition program. Currently, there are 5.5-gigawatt coal-fired PLTUs that are ready to be transformed to use eco-friendly energy," the President said.
In addition, Indonesia is paying huge attention to decarbonization in the transportation sector, he informed.
Massive electrification in the transportation sector has been conducted with the establishment of mass urban transport, such as by operating Light Rail Transit (LRT) and the Mass Rapid Transit (MRT) in Jakarta, as well as encouraging investments for the production of electric cars, he said.
Indonesia is rich in metals and can support the realization of investment for the establishment of electric car factories in the country as one of the attempts to develop a sustainable green economy, he added.
The country has abundant nickel, bauxite, tin, and copper, whose reserves are enough to supply global demand, the President said.
"However, we will not sell them in the form of raw materials. We will export them as finished or semi-finished goods with high added value," he emphasized.
The nickel downstreaming attempts, which have been conducted since 2015 have had a positive impact by opening many job opportunities, he pointed out.
"After nickel, we will encourage investment for the downstreaming of bauxite, copper, and tin," he informed.
The downstreaming attempts have also improved Indonesia's trade balance, he noted.
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The value of Indonesia's exports reached US$230 billion in 2021, with steel as the main commodity, he said.
The exports value of the metal in 2021 was US$20.9 billion, he noted. The figure was a huge increase since the value was only US$1.1 billion in 2014, he added.
Hence, in 2022, it is estimated that the export value of steel can reach US$28 billion to US$30 billion, he said.
B20 is the G20 members' official dialogue forum with the global business community.
Attended by about one thousand delegates from G20 member countries, including top executives of several leading multinational companies, the participants of the forum represent more than 6.5 million businesses.
For the inaugural event, the Indonesian President was accompanied by Investment Minister and head of the Investment Coordinating Board (BPKM), Bahlil Lahadalia, Cabinet Secretary Pramono Anung, and chairman of the Indonesian Chamber of Commerce and Industry (Kadin), Arsjad Rasjid.
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The 2022 G20 is the first time Indonesia is hosting the forum, making it the first developing country in Southeast Asia to lead the grouping, which yields considerable influence on global economic and social policies.
Hence, earlier, the President had expressed the hope that preparations for Indonesia’s G20 Presidency would not only focus on the implementation of the event, but also have a positive impact on national and global socio-economic recovery.
Thereafter, the Communications and Informatics Ministry has launched G20pedia, an electronic handbook, to strengthen public understanding of the intergovernmental forum and offer an insight on the benefits of Indonesia's G20 Presidency for the community through the implementation of various G20 side events in various locations throughout Indonesia.
The electronic handbook can be accessed through linktr.ee/g20pedia and the official G20 website, www.g20.org.
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Reporter: Rangga Jingga, Uyu Liman
Editor: Fardah Assegaf
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