"The government's investment target in 2025 is Rp1,900 trillion to Rp2,200 trillion," he informed here on Tuesday.
"Of course, we must encourage more investment in this sector," he added.
The government, which is prioritizing energy security, will provide many opportunities for business actors, including state-owned enterprises as well as private companies, to contribute to the energy sector, he said.
He then highlighted the potential of new and renewable energy sources in Indonesia, such as hydro, geothermal, and crude palm oil (CPO).
"We must transform these sources into activities that contribute to the economy. We cannot make economic contributions without investment activities in the new and renewable energy sector," he added.
Tanjung said that realizing the investment target is important to achieve the economic growth target of 8 percent set by President Prabowo Subianto.
According to the Ministry of Energy and Mineral Resources, investment realization in the new, renewable energy and energy conservation sectors reached US$1.49 billion in 2024.
The new, renewable energy and energy conservation sectors have succeeded in creating 13,200 green jobs.
According to the ministry's director general of new, renewable energy, and energy conservation, Eniya Listiani Dewi, these achievements cannot be separated from the debottlenecking of regulations in terms of domestic component levels (TKDN).
Adjustments to regulations related to TKDN have served as an enabler, allowing a number of geothermal power plant projects to be implemented, she noted. (INE)
Translator: Putu Indah Savitri, Yashinta Difa
Editor: Atman Ahdiat
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