Luhut, U.S. Foreign Affairs Minister Discuss Cooperation in Solar Panel Industry

TEMPO.CO, Jakarta - Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan held a bilateral meeting with United States Minister of Foreign Affairs Antony Blinken in Jakarta on Tuesday afternoon, December 14, 2021.

The two focused on discussing the potential for cooperation in various sectors between the two countries. For example, in the context of preventing climate change, Luhut hopes that the United States can build a solar panel industry in Indonesia as a support for the development of sustainable energy sources.

“Indonesia has a strong commitment to curb climate change. We also have great potential for carbon pricing. I think that in the last five years, our efforts to increase carbon pricing have been the best," Luhut said in a written statement, Wednesday, December 15, 2021.

Based on the data he presented, Indonesia has 75-80 percent of the world's total carbon credits. This figure comes from rainforests, mangroves, peatlands, and coral reefs.

Luhut went on to say that, as part of Indonesia's commitment to the Paris Agreement and Net Zero Emissions, the government is currently focusing on regulations related to climate change and emission reductions.

In the oil and gas sector, Luhut explained Indonesia's rapid development in the last seven years. For example, the Green Industrial Park in North Kalimantan, which is the largest green industrial area in Indonesia.

"The downstream nickel industry in Indonesia is currently focusing on stainless steel production with the next target being battery components," said Luhut.

In more detail, he explained that Indonesia in the last seven years has succeeded in producing derivative products from the nickel industry. And, according to Luhut, Indonesia's cooperation does not only depend on one country.

"We don't depend on one country alone. For example, we have discussed cooperation with the UK for the production of cathode components in batteries," said Luhut.

Responding to his partner, Foreign Minister Blinken said that his country was ready to cooperate with Indonesia regarding the semi-conductor industry and other minerals. "We will work hard to cooperate with Indonesia, and together we can create a supply chain in this industrial sector," he said.

Furthermore, Blinken hopes that together with Indonesia we can produce efficient cooperation. Because according to him there are many things that can be resolved quickly.

“I agree that Indonesia has enormous potential and there are many sectors that can be done together. Such as in the infrastructure investment, health, digital and renewable energy sectors," said Blinken. He hopes that a number of new collaborations can be established during the series of G20 activities.

Read: Solar Power Crowned New King of Energy; Researcher Says Indonesia Lags Behind

CAESAR AKBAR | GRAVEN FIKRI (INTERNSHIP)