Indonesia And The UK Extend Low Carbon Energy Cooperation Until 2027

Minister of Energy and Mineral Resources Arifin Tasrif (photo: dock. Antara)

JAKARTA - Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif and UK Minister of Energy and Net Zero Security Graham Stuart extended the cooperation of the Indonesia-UK Program Towards Indonesia's Low Carbon Energy Transition (MENTARI).

"Initially, the MENTARI program was scheduled to end in 2024, but will now be extended until 2027. The UK will also provide an additional 6.5 million pounds or equivalent to IDR 135 billion to maintain and increase the program's initiative," Arifin said in front of the media, Friday, August 4.

Arifin said, MENTARI has become the main partner in collaboration with the Ministry of Energy and Mineral Resources to improve planning and procurement of renewable energy, both for on-grid and off-grid applications, prioritizing policies, recommendations and technical studies.

"They have also taken care of several low-carbon energy projects and carried out pilot projects in eastern Indonesia," added.

In addition to the MENTARI program, continued Arifin, the UK is also actively supporting Indonesia through various programs, including the Just Energy Transitions Partnership (JETP) and the Joint Economic And Trade Committee (JETCO).

"We project that this partnership will continue to develop, promote technical cooperation, sustainable trade, and green investment between the two countries," he added.

Arifin also said that Indonesia invites more international partners to support a fast and effective transition to Indonesia's clean energy target. Indonesia requires an investment of up to USD 1 trillion in 2060 for renewable energy generation and transmission.

"The need for financial support will increase because we will implement early retirement of coal-fueled power plants in the coming years. Therefore, we open up opportunities for investment and broad cooperation to achieve this target," he said.

Arifin also appreciated the stakeholders of the MENTARI program, both from elements of the Government, the private sector, and the community, who have been involved in the planning and implementation process of the MENTARI Program.

"Protracted support, collaboration, and commitment will ensure the MENTARI program is on the right track and provides maximum benefits for the community," said Arifin.

On the same occasion, UK Minister of Energy and Net Zero Security Graham Stuart said that Indonesia could play a major role in Indonesia's clean energy transition. With the help of expertise and investment from the UK, Indonesia is accelerating the transition from coal to clean energy.

"Being one of the countries with the fastest economic growth in the world and great potential to develop renewable energy, Indonesia can play a major role in the clean energy transition in Southeast Asia. With the help of British expertise and investment, Indonesia is accelerating its transition from coal to clean electricity, and working hard to achieve net zero by 2060 or sooner," said Stuart.

In addition, Stuart also said that the MENTARI Program was implemented to help Indonesia realize renewable energy potential.

"Today, I am pleased to announce the extension of the Low Carbon Energy Partnership TARI UK-Indonesia. This program is working with our partners in Indonesia to accelerate investment in renewable energy to help Indonesia's transition to a green economy, helping countries with the largest population in Southeast Asia realize its potential renewable energy," he concluded.

For information, the MENTARI Program was implemented in the 2020 - 2024 period and is a follow-up to the MoU between KESDM and the Foreign and Commonwealth Office UK, namely in the field of Low Carbon Energy Development Cooperation (Low Carbon Energy Development / LCEP).

The implementation time of the MENTARIS Program has been addendum to the addition of 3 years, from the 2020-2024 period to 2020-2027 and the addition of the Steering Committee for the Head of the ESDM Human Resources Development Agency (BPSDM).