Indonesia to Gradually Shut Down Coal-fired Power Plants

TEMPO.CO, Jakarta - Coordinating Minister for Maritime Affairs and Investment Luhut Pandjaitan said the Indonesian government is gradually shutting down the operation of coal-fired power plants. The government will instead focus on developing new and renewable energy.

Indonesia, Luhut said, has great potential in the renewable energy sector as fossil energy has now become a common enemy. "The Indonesian government will gradually close the coal-fired power plant," said Luhut in the Indonesia Investment Forum (IIF) 2021 held by the Indonesian Embassy in London virtually on Thursday, May 27, 2021.

Moreover, global financial institutions are no longer willing to fund the development of fossil fuel power plants that are not environmentally friendly for triggering global warming. "Global warming makes the earth warmer. If it rises to 1.5 degrees (celsius), it will create bad impacts."

According to Luhut, one of the government’s new and renewable energy programs includes an integrated, green industrial area project that will use hydropower plants in North Kalimantan. The industrial area will span about 12,500 hectares.

"We will have a hydropower-based integrated industrial estate in North Kalimantan. This is probably the largest integrated industry in the world," Luhut remarked.

Luhut Pandjaitan said the groundbreaking of the project was planned to kick off this year. "About 11,000 megawatts (MW) can be used," he added. The green industrial area is in line with the government’s target to achieve net-zero emission by 2060.

ANTARA