Wed, 16 Feb 2011

JAKARTA, Feb. 15 (UPI) -- The government of Finland offered Indonesia a $5.38 million grant to help run a program that would advance the use of renewable energy resources, an envoy said.

The countries signed an agreement to encourage the use of wood and other agricultural residues as a source of renewable energy, The Jakarta Post reports.

Kai Sauer, the Finnish envoy to Indonesia, said the energy partnership would encourage the use of renewable energy while at the same time combating climate change and reducing harmful greenhouse gas emissions.

"This program is a manifestation of our commitment to develop the two nations' relations through concrete programs," he was quoted as saying.

He added that both sides expected to vet project proposals from the private sector, non-governmental organizations and research institutions.

The $5.38 million grant is meant to help the Indonesian government sponsor pilot projects and feasibility studies through 2014.