Indonesian Political, Business & Finance News

Controlling Solar Imports to Reduce Pressure on Oil and Gas Trade Deficit

| | Source: KOMPAS Translated from Indonesian | Energy
Controlling Solar Imports to Reduce Pressure on Oil and Gas Trade Deficit
Image: KOMPAS

A member of the National Energy Council (DEN), Muhammad Kholid Syeirazi, stated that controlling solar imports must be implemented. The aim is to reduce pressure on the oil and gas trade deficit, increase refinery utilisation, enhance biofuel absorption, and strengthen energy transition and resilience. “With the additional production from the Refinery Development Master Plan (RDMP) Balikpapan and the increase in biodiesel blending from B40 to B50, it is hoped that solar needs can be fulfilled,” Kholid explained, quoted from Kontan on Thursday (7/5/2026). Indonesia is currently still importing 600,000 kilolitres (KL) of CN51 solar up to April 2026. However, CN48 solar is already fully produced domestically. “For solar in 2026, alhamdulillah, we will no longer import it because everything is already domestic,” said the Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia. “It’s done, it’s done. If you ask the private sector, they definitely already have it,” he clarified, quoted from Kompas.com on Wednesday (6/5/2026). The government has indeed implemented a regulation requiring private fuel stations to purchase domestically produced solar. “Actually, since it was announced, meetings have already been held. So it’s already underway,” he explained. The government targets that before the end of 2026, Indonesia will officially stop importing solar.

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