One Year Cabinet, Will Indonesia Go To Energy Self-Sufficiency?

The tanker PT Pertamina International Shipping (PIS) is engaged in maritime logistics, including the distribution of Indonesian oil and gas. (doc PIS)

JAKARTA - The government's efforts to realize self-sufficiency in energy are considered a strategic step to strengthen national resilience while reducing dependence on imports of fuel oil (BBM). The policy that is being rolled out by the Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia through the use of ethanol in fuel mixtures is considered as an important breakthrough in that direction.

Lecturer of the Doctoral Program for Management, Faculty of Economics and Business, Islamic University of Bandung (FEB Unisba), Prof. Ima Amaliah, said that the energy self-sufficiency program should have been carried out for a long time, even since the heyday of Indonesian oil in the 1980s. At that time, he said, the results of the oil and gas sector should have been used to build an independent national energy foundation.

"I appreciate the current government's steps. The energy self-sufficiency program is the right step and should be a cross-government national agenda," said Ima in a discussion entitled A Year of New Government, How about National Energy Independence? organized by IWEB in Bandung, Friday 10 October.

According to Ima, the momentum towards energy independence is currently very appropriate because the world is facing the challenges of climate change. Indonesia is also bound by the Paris Agreement or the Paris Agreement to achieve net zero emissions no later than 2050. Therefore, the transformation towards clean energy such as bioethenol is part of a global obligation.

Meanwhile, Professor of the Faculty of Mechanical Engineering and Dirgantara, Bandung Institute of Technology (ITB), Tri Yus Widjajanto, assessed that the policy of mixing ethanol in fuel which is being initiated by the government is a real step in reducing energy imports.

According to him, technically fuels with ethanol content have proven safe to use in modern motorized vehicles and can help reduce carbon emissions.

"Ethanol from sugar cane, corn, or cassava is not only environmentally friendly, but also strengthens the domestic energy supply chain. As long as the ethanol levels are properly regulated, the vehicle will not experience significant technical problems," Tri said.

Tri added that the utilization of ethanol could help reduce the dependence of fuel imports, which so far have reached more than 45 percent of national needs. In addition, the development of the domestic bioethenol industry also has the potential to create new jobs and increase added value for national agricultural products.

"This is a strategic step to build energy independence based on domestic resources. The government just has to ensure the continuity of the supply of raw materials and distribution infrastructure," he said.

Meanwhile, Public Policy Observer at Padjadjaran University (Unpad), Yogi Suprayogi assessed that the innovation brought by Minister Bahlil through the ethanol program and regulation of people's oil wells to boost production so that they no longer depend on imports. Yogi said, all of these things would be effective if followed by the improvement of energy governance. He reminded the importance of simplifying regulations so that energy transition policies are not hampered by complex bureaucracy.

"Conceptually, good. If local people can cooperate with people's organizations or cooperatives, it can strengthen the regional economy," said Yogi.

Even so, Yogi reminded people's well policies to prioritize the welfare of the people. He warned that people should not be used as a proxy from large companies who want to make profits for certain groups.

The academics agreed that ethanol policy could be a stepping stone to national energy independence, as long as it is supported by technological innovation, sustainable research, and strong political commitment. In one year of Minister Bahlil's leadership, the direction of the ESDM policy is considered to be clearer: suppressing imports, opening up people's participation, and building a foundation for national energy independence.