Based on a deeper understanding of Indonesia’s energy sector and its broader development goals, analysis by the JETP Technical Working Group has suggested that reaching all the joint conditional targets may not represent a realistic decarbonization pathway.

In particular, this assessment is based on the exceptionally high solar and wind capacity buildouts and rapid rates of transmission development required within the next six years if current plans for captive coal capacity are unaltered, which would render reaching some of these joint conditional targets exceedingly difficult. However, modeling and analysis on the off-grid systems and possible alternative pathways for providing needed captive power is not yet complete and the GoI and IPG cannot say anything definitive until the experts complete their work.

In response, the GoI and the IPG have agreed to focus on addressing targets for Indonesia’s on-grid system, recognizing that more work is required to develop a viable decarbonization plan for the off-grid captive power system. This CIPP, proposed by the JETP Secretariat, will accordingly only set out an on-grid emissions target and pathway that retains a level of ambition compared to a business-as-usual (BAU) condition as originally intended in the Joint Statement. The on-grid pathway that this CIPP features includes:

  • Total on-grid power sector emissions peaking by 2030 with an emission target of no more than 250 MT CO2 in 2030;
  • A renewable energy generation share of 44% by 2030; and
  • Achievement of net zero emissions in the power sector by 2050.