Germany Interested in Investing in Renewable Energy, Including Diesel Phase-Out
The German government is interested in developing investment in Indonesia’s renewable energy sector. The aim is for Indonesia and Germany to achieve the Sustainable Development Goals (SDGs) together.
“We see Indonesia as a partner that is highly committed to achieving the SDGs and strengthening multilateralism,” said German Minister for Economic Cooperation and Development Reem Alabali Radovan at the office of the Coordinating Ministry for Economic Affairs in Jakarta on Thursday (20/8/2026).
Radovan explained that cooperation with the Indonesian government seeks to combine these two objectives: achieving sustainable development goals and enhancing economic cooperation.
Radovan said cooperation in the energy sector makes it possible to realise both objectives, as many German companies bring the latest technological innovations.
“We also have various projects involving academics, the public sector, and the private sector together. I think this is a good way to find more sustainable solutions for the future,” she said.
German companies, Radovan said, are interested in new renewable energy generation such as solar power plants, wind power plants, hydroelectric power plants, and geothermal. In addition, several companies are also interested in the health and medical equipment sector, electricity transmission, and energy efficiency solutions for the industrial and building sectors.
Meanwhile, Coordinating Minister for Economic Affairs Airlangga Hartarto explained that green energy and solar-based energy transformation are among the agendas under the administration of President Prabowo Subianto.
“We have a target of 100 gigawatts within two to four years. That means we need a lot of technology and capital goods,” said Airlangga.
Airlangga opened a number of cooperation opportunities for German companies, as there is a priority target for diesel phase-out at power plants on small islands.
“This year’s priority is 13.3 gigawatts, which we call diesel phase-out, namely converting power plants on small islands from diesel to solar power,” he said.