Jakarta, Indonesia--The JETP Secretariat convened multilateral development banks (MDBs), development finance institutions (DFIs), private banks including members of the Glasgow Financial Alliance for Net Zero (GFANZ) working group and domestic private banks, PT SMI, PT PLN, representatives of the International Partners Group (IPG) and Government of Indonesia (GoI) in a 2-day workshop to discuss in great detail the options for innovating financing modalities for each of the JETP investment focus areas.

Taking place for 2 days at the Grand Hyatt from January 31st to February 1st, the workshop explored interest and willingness of all JETP relevant financing entities to go beyond the Business-As-Usual approach to unlock financing at speed and scale for Indonesia's power sector decarbonization. The workshop was opened with a keynote speech by the Chairman of the National Energy Transition Task Force, the Deputy Coordinating Minister for Maritime and Investment for Transport and Infrastructure Coordination, Rachmat Kaimuddin. Speakers at the workshop includes the Ministry of Energy and Mineral Resources, Ministry of Finance, PT PLN and PT SMI as manager of the Energy Transition Country Platform.


As identified by the Comprehensive Investment and Policy Plan (CIPP) released end of last year, Indonesia requires USD 97.3 billion in power sector investments in order to achieve JETP formulated objectives of 250 million tonnes CO2 and 44% of renewables by 2030. It is expected that the USD 21.6 billion committed funding under JETP can be channeled into catalytical projects in time to pave the foundation for power sector transition, at the same time unlock much needed investment to accelerate the process.


The thematic discussion at the workshop centered around JETP Investment Focus Areas. The topics at the heart of the discussion include: Transmission, Early Retirement and Managed Phase-Out of Coal Fired Power Plants (CFPP), Renewable Energy (Dispatchable and Variable), Energy Efficiency and Electrification, and Just Transition. The workshop unearthed valuable insights regarding challenges and opportunities in scaling up and innovating energy transition financing. At the same time, it has galvanized the support of stakeholders to progress together in a consolidated and accelerated manner.