Deputy Minister Of Investment Admits Green Energy Production In RI Is Still Expensive

JAKARTA - Deputy Minister of Investment and Downstreaming / Deputy Head of the Investment Coordinating Board (BKPM), Todotua Pasaribu, acknowledged that the production of green energy or new and renewable energy (EBT) in the country is still quite expensive.

Todotua said the high cost of producing green energy in the country was due to the supply chain in the sector which was not yet efficient, thus creating expensive production costs.

"When we want to shift into green energy, whatever the story, our current green energy production is still expensive. Why? Because the supply chain is still expensive," said Todotua in Sarasehan 100 Indonesian economists in Jakarta, Tuesday, October 28.

To reduce production costs, continued Todotua, the government is intensifying industrial downstream. He assessed that, with downstreaming, the supply of raw materials can be met domestically, including in solar power plants.

"How can we present an industry or downstreaming of solar panels in our competitive country. So that later supply chain will contribute to our cheap green energy price," said Todotua.

Todotua said that in the downstream industry program, the government also asked investors to use environmentally friendly technology. However, the costs are in the spotlight.

"Is this incoming technology environmentally friendly? My answer is simple, it's all about cost. It's all about strategic price that will be generated," he said.

He said, the Investment Management Agency (BPI) Daya Anagata Nusantara (Danantara) would meet this need.

"Actually, Danantara, the most important thing is that we want to enter this is for strategic downstreaming. How can we accelerate it," said Todotua.