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Indonesia's Green Energy Ascent

Indonesia’s Green Energy Ascent: Powering Growth with Renewables


Indonesia, Southeast Asia’s largest economy and a rising global player, faces a crucial energy crossroads. 

With a growing population and booming industries, its demand for electricity is skyrocketing. Yet, its reliance on fossil fuels poses environmental and economic challenges. The answer lies in a bold transition: harnessing the immense potential of green energy to illuminate lives, fuel the economy, and secure a sustainable future.


A Land Abundant in Renewables:


Indonesia boasts a diverse tapestry of renewable resources, waiting to be unleashed:



  • Solar Power: Bathed in sunshine for an average of 11 hours daily, Indonesia’s solar potential is vast. The government estimates a technical potential of 450 GW, enough to meet the country’s entire electricity demand several times over.

  • Hydropower: Indonesia’s numerous rivers and archipelagic geography offer significant hydropower potential. Currently, it contributes around 60% of the country’s renewable energy generation, with an installed capacity exceeding 12 GW.

  • Geothermal Power: The world’s third-largest geothermal potential lies beneath Indonesia’s volcanic soil. The current installed capacity of 2.4 GW represents only a fraction of the estimated 29 GW potential.

  • Biomass: Agricultural residues and forestry waste present a significant opportunity for biomass energy generation. The estimated potential is 32.6 GW, offering a sustainable and locally sourced energy source.

  • Wind Power: Although less explored than other resources, Indonesia has promising wind potential in mountainous regions and coastal areas, currently estimated at 7.2 GW.


Progress and Obstacles:


Despite its renewable riches, Indonesia’s green energy journey faces hurdles:



  • Investment Gap: Significant investments are needed to translate potential into reality. Estimates suggest a requirement of $130 billion annually by 2030 for renewable energy infrastructure development.

  • Grid Infrastructure: Strengthening and expanding the transmission and distribution network is crucial to integrate large-scale renewable energy projects into the grid.

  • Policy and Regulatory Framework: Stable and supportive policies are essential to attract investments, incentivize renewable energy development, and ensure fair competition.

  • Technology and Expertise: Building local expertise in renewable energy technologies, project management, and financing is crucial for sustained growth.


Statistics Tell the Story:



  • Renewable Energy Share: While fossil fuels still dominate, the renewable energy share of Indonesia’s installed power generation capacity has increased from 6.5% in 2010 to 11.2% in 2022.

  • Hydropower Leader: Hydropower remains the leading renewable energy source, accounting for roughly 55% of total renewable capacity.

  • Solar on the Rise: Solar PV is the fastest-growing renewable energy source, with installed capacity increasing from just 70 MW in 2015 to over 1.4 GW in 2022.

  • Geothermal Potential Untapped: Geothermal power, despite its potential, accounts for only 10% of Indonesia’s renewable energy mix, highlighting the need for further development.


The Green Horizon:


Transitioning to green energy offers Indonesia a multitude of benefits:



  • Energy Security: Reducing reliance on imported fossil fuels enhances energy independence and security, mitigating price fluctuations and geopolitical risks.

  • Sustainable Growth: Green energy paves the way for a sustainable and climate-resilient future, attracting investments and supporting long-term economic development.

  • Environmental Protection: Embracing renewables combats climate change, preserves biodiversity, and ensures cleaner air and water for future generations.

  • Job Creation: The green energy sector creates new jobs in various areas, from installation and maintenance to technology development and project management.
Indonesia's Green Energy Ascent

Green Energy in Indonesia: A Statistical Deep Dive


Indonesia boasts immense potential for green energy, yet its current utilization remains below par. Here’s a dive into the statistics, highlighting both progress and challenges:


Overall Potential:



  • Total Renewable Energy Potential: 409 GW (Gigawatts)**, including hydro, geothermal, solar, wind, and ocean energy.

  • Highest Potential Source: Solar, with an average generation potential of 4.8-5.1 kWh/m²/day (kilowatt-hours per square meter per day).

  • Global Ranking: Indonesia holds the largest geothermal reserves in the world (23.7 GW).


Current Status:



  • Installed Renewable Energy Capacity: 9.27 GW (as of 2023), representing only 2.3% of the total potential.

  • Renewable Energy Share in National Power Mix: Approximately 8.5% (2022).

  • Government Target: Achieve 23% renewable energy mix by 2025.


Progress & Achievements:



  • Recent Growth: Renewable energy capacity has doubled since 2017.

  • Leading Source: Geothermal contributes the most significant share (5.6 GW).

  • Emerging Players: Solar and wind power are demonstrating rapid growth.


Challenges & Obstacles:



  • Infrastructure Gaps: Transmission and distribution networks require significant improvements.

  • Policy Uncertainties: Fluctuations in regulations and incentives hinder investment.

  • Financing Constraints: Access to affordable capital remains a hurdle.

  • Community Engagement: Local communities’ involvement and concerns need to be addressed.


Additional Data Points:



  • Investment Needs: Estimated US$200 billion required to achieve the 2025 target.

  • Carbon Emission Reduction: Shifting to renewables can significantly reduce greenhouse gas emissions.

  • Job Creation: Green energy transition offers potential for employment opportunities.
Indonesia's Green Energy Ascent

Green Energy in Indonesia: Statistical Table



Category Data Point Value Source
Overall Potential Total Renewable Energy Potential 409 GW Kementerian ESDM
Highest Potential Source Solar (4.8-5.1 kWh/m²/day) IRENA
Global Ranking (Geothermal) 1st (23.7 GW) IRENA
Current Status Installed Renewable Energy Capacity 9.27 GW (2023) Kementerian ESDM
Renewable Energy Share in National Power Mix 8.5% (2022) Kementerian ESDM
Government Target for 2025 23% Renewable Energy Mix Kementerian ESDM
Progress & Achievements Renewable Energy Capacity Growth Doubled since 2017 Kementerian ESDM
Leading Source Geothermal (5.6 GW) Kementerian ESDM
Emerging Players Solar & Wind (Rapid Growth) Kementerian ESDM & East Ventures
Challenges & Obstacles Infrastructure Gaps Significant improvements needed East Ventures
Policy Uncertainties Hinder investment East Ventures & CNBC Indonesia
Financing Constraints Limited access to affordable capital East Ventures & IRENA
Community Engagement Lack of involvement & concerns East Ventures & IGGP
Additional Data Points Investment Needs for 2025 Target US$200 billion East Ventures
Potential Carbon Emission Reduction Significant IRENA & IGGP
Job Creation Potential High IGGP & CNBC Indonesia



Note: This table summarizes key data points. Refer to sources for detailed information and latest updates.



Sources:



  • Kementerian Energi dan Sumber Daya Mineral (ESDM)

  • Indonesian Green Growth Program (IGGP)

  • International Renewable Energy Agency (IRENA)

  • East Ventures report: “The future is green: unlocking Indonesia’s renewable energy potential”

  • CNBC Indonesia: “Punya Senjata Utama, RI Bisa Jadi Poros Green Energy Dunia”



A Beacon of Hope:


Indonesia’s green energy journey is one of immense potential and transformative possibilities. With ambitious targets, increasing investments, and a growing focus on technological advancements, the country is poised to tap into its renewable riches and illuminate a brighter future. This transition will not only power homes and industries but also empower communities, protect the environment, and propel Indonesia towards a sustainable and prosperous future.

https://www.exaputra.com/2024/02/indonesias-green-energy-ascent.html

Renewable Energy

New ACORE Investor Survey Report Kicks Off 2026 Finance Forum

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New ACORE Investor Survey Report Kicks Off 2026 Finance Forum

New York City, NY –  A new report from ACORE shows that clean energy investors and developers largely plan to increase their investments in 2026 but cite policy, regulatory, and interconnection uncertainty as the biggest risks to their investment strategy after this year.  

In its Navigating Uncertainty: Clean Energy Investment Trends (2026-2029) report, ACORE shares market sentiment analysis gathered from surveys of 36 leaders at U.S. and multinational companies that invested billions in the U.S. clean energy market in 2025.

Topline takeaways from the report include:

  • Respondents identified federal regulatory and policy risks and interconnection uncertainty and costs as the top risks facing clean energy investments. 
  • Capital providers continue to view utility-scale solar and energy storage as the two most attractive clean energy technologies for investment.  
  • Despite declining attractiveness of the U.S. as a venue for clean energy investment compared to previous years, respondents said they plan to develop and finance more American clean energy projects in 2026 than they did in 2025. 
  • Policy and investment uncertainty clouds the trajectory post-2026, with the potential for additional roadblocks to financing and developing clean energy infrastructure. 

This report complements the Clean Energy Investment Trends report released last month that S&P Global prepared for ACORE.  

“ACORE’s recent reports highlight a common thread: the U.S. clean energy sector remains capitalized and ready to help deliver electricity reliability and affordability for American consumers,” said ACORE President and CEO Ray Long. “Our sector is thriving and poised to meet this moment of significant electricity demand growth, but investors and developers need policy certainty to deliver on this critical infrastructure for American energy security.”

ACORE released the report at its annual Finance Forum in New York City today and discussed the takeaways during the opening panel with ACORE Senior Vice President for Policy Lesley Hunter, Avangrid CEO Jose Antonio Miranda, and S&P Global CERA Consulting Director Christopher Wilfong.

Please email communications@acore.org if you’d like to view the recording of the first panel or set up an interview with ACORE about the report. Register here to tune in to the other panels. 

ACORE will host a member-only webinar to discuss both reports on May 21, 2026. Learn more about becoming an ACORE member here.  

###

About ACORE:
ACORE is a nonpartisan nonprofit organization that operates at the intersection of affordability, reliability, and clean energy deployment. Our work is focused on stabilizing energy prices, strengthening the electric grid, and driving investment in cost-effective technologies to ensure that clean energy delivers for people, businesses, and the U.S. economy.

ACORE’s membership includes clean energy investors, developers, energy buyers, power generators, manufacturers, and energy providers.  In 2024, nearly 80% of the booming utility-scale domestic clean energy growth was financed, developed, owned, equipped, or contracted by ACORE members.

Media Contacts:

Chris Higginbotham 
higginbotham@acore.org  
 
Sophie Stover 
communications@acore.org 

The post New ACORE Investor Survey Report Kicks Off 2026 Finance Forum appeared first on ACORE.

https://acore.org/news/new-acore-investor-survey-report-kicks-off-2026-finance-forum/

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Renewable Energy

ICE Terrorizing Americans

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As shown at left, we still have judges who are fighting to prevent the United States from becoming a fascist nation.

I remain amazed that there aren’t more deaths associated with masked ICE agents attempting to arrest people, especially in their homes.  Imagine this:

An American, say John Doe, has a loaded shotgun in his home office closet, where he’s writing blog posts, or whatever.

A masked man, visibly armed, with no warrant for his arrest rings the doorbell and tells his wife who’s answered the door, that he’s there for John.

John overhears the conversation, takes his gun, walks down the hallway, swings around toward the front door, and puts a hole in the intruder’s chest the size of a grapefruit.

Again, I can’t imagine why there isn’t more blood spurting out of the bodies of masked terrorist thugs operating illegally.

ICE Terrorizing Americans

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Renewable Energy

Ayn Rand Is No Longer a “Thing” — Here’s Why

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A reader asks:

Isn’t it time for the Libertarians to cast aside the whole myth of objectivism championed by Ayn Rand? She said we should be realists, so let’s be real and see her for who she really was … a women who when she got sick, and push came to shove, cashed the checks.

To put this into perspective, Ayn Rand:

Was a considerable “thing” in the mid-20th Century.  I was one of millions of young people who read “Atlas Shrugged” and “The Fountainhead,” and accepted libertarianism at the time.

Her way of thinking evaporated, for most of us anyway, when we realized that unbridled greed was eventually going to cause the demise of humankind on this planet.

The actual root cause of this demise was unclear, but as the years passed, environmental collapse became the prime suspect.  Rich people obviously couldn’t care less about climate change, ocean acidification, loss of biodiversity, or desertification.

Ayn Rand Is No Longer a “Thing” — Here’s Why

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