DEN Says Renewable Energy Programme Must Continue Despite US-Iran Peace

Jakarta, CNBC Indonesia - National Energy Council member Mohamad Fadhil Hasan has spoken candidly about the potential for developing the government’s renewable energy programme. He stated this is a crucial step Indonesia must take to achieve energy security, reduce carbon emissions, and lessen dependence on depleting fossil fuels.

He added that political tensions in the Middle East serve as a lesson that Indonesia needs to accelerate its renewable energy push.

‘What we must do is diversify our energy resources. From a geopolitical analysis of the US, one positive aspect of the war in the Middle East is that all countries are accelerating new renewable energy, and it has become a momentum to speed up the renewable energy programme,’ he explained during the CNBC Indonesia Energy Forum in Jakarta on Thursday.

He noted that President Prabowo Subianto has announced an ambitious project to build a 100 GW solar power plant. The project, projected to cost around Rp1,800 trillion, aims to achieve energy self-sufficiency, reduce reliance on diesel power plants in eastern Indonesia, and drive the energy transition.

Additionally, there is a programme to convert 120 million motorcycles to electric vehicles and the B50 biodiesel mandate, which will take effect on 1 July 2026.

He expressed hope that these developments will continue even if geopolitical conditions ease in the future. He considers this crucial to ensure the transition process proceeds as expected.

‘I think we should not be complacent with the current situation. The challenge is if the situation calms down and peace returns. What is demanded is consistency. We urge all parties to consistently implement this energy transition programme even if conditions return to normal and uncertainty remains high in the future,’ he stated.