Jakarta – Maritime and Investment Coordinating Minister Luhut Binsar Pandjaitan has stated that Indonesia will no longer need to import fossil fuels in 2045, as it will develop the palm oil as the raw material to produce alternative green fuels that will reduce carbon emissions.
Speaking on the sidelines of the annual meeting of the World Economic Forum (WEF) in Davos, Switzerland last Tuesday, 17 January 2023, Minister Luhut said that Indonesia has a potential capacity of power generation from renewable energy sources at 437.4 giga watt (GW). Indonesia will have to invest to realize its target of decarbonizing the power plants through the program of energy transition that will gradually reduce the use of fossil fuels and increase the use of renewable energy sources for power generation.
“We’re conducting researches on the palm oil, as we’re confident in 2045 we can produce around 100 million tons of palm oil. Around 30% of it will be used for production of foods, and the other 70% for production of ethanol. We can realize it through our research and development. So, we’ll no longer need to import the fossil fuels at that time (2045),” he said during a discussion on Indonesia Net Zero Pathway: Opportunity & Challenges in the Indonesia Pavilion 2023 in Davos, Switzerland.
He said that Indonesia will develop green economy based on five pillars, namely decarbonization of power plants, low-carbon transportation through electric vehicles, energy alternative, green industries, and carbon sinks.
“Based on our roadmap of decarbonization program, Indonesia needs the industries to create the job opportunities that require high quality human resources,” he said.
Minister Luhut said Indonesia will accelerate the realization of net zero emission 2060 through its energy transition program from fossil fuels to renewable energy sources. “That’s why the palm oil will play a very significant role in our energy sector in the future,” he said.
Muhammad Yusrizki, Chairman of the Indonesia Net Zero Hub at the Indonesian Chamber of Commerce and Industry (KADIN), said that Indonesia has taken the necessary positive steps towards realizing the Net Zero Emission in 2060. The concrete steps include the strategies to decarbonize industries, electrification, early retirement of coal-fired power plants (PLTU), and mangrove restorations.
“To realize the target we certainly need collaborations with other stakeholders, including the government institutions, industries’ leaders, associations, mass organizations, and investors to develop our potential green economy that will contribute to the efforts of mitigating the problems of climate change,” he said. (*)
Source: TEMPO.CO/Bisnis.com
