Government Accelerates Downstreaming and Strengthens National Energy Resilience
President Prabowo Subianto led a limited cabinet meeting with several ministers of the Red and White Cabinet at Hambalang, Bogor, on Wednesday (25/3). The meeting reaffirmed the government’s policy direction to accelerate downstreaming while strengthening the foundations of national energy resilience.
Minister of Energy and Mineral Resources Bahlil Lahadalia stated that downstreaming is the top priority. Currently, out of 20 initial-stage projects, the majority have entered the groundbreaking phase. Additionally, the government is refining plans for major additional investments in this sector.
“Then we add another 13 downstreaming items with a total investment of approximately Rp239 trillion, which we will discuss for finalisation,” said Bahlil.
In addition to mineral downstreaming, the government is moving quickly to develop alternative energy to reduce dependence on conventional sources.
The President instructed the maximum utilisation of domestic potential, from ethanol to biodiesel based on crude palm oil (CPO).
Bahlil explained that the transition to new renewable energy (EBT) is also a crucial point emphasised by the President in the meeting.
“The President has ordered the optimisation of all existing energy potentials we have, whether ethanol, biodiesel from CPO, including how we promote the energy transition through new renewable energy that we can carry out,” he clarified.
Regarding the dynamics of strategic commodity prices such as coal and nickel, the government stated there has been no fundamental policy change. However, room for production adjustments remains open, considering global market conditions.
“If the prices remain stable, that’s good; we will consider measured relaxations to production planning. So everything is still within the bounds of coordination with the market, then supply and demand needs,” Bahlil remarked.
Concluding his directions, President Prabowo emphasised the importance of sustainable natural resources (SDA) that provide maximum benefits to the state. The President instructed his ministerial team to explore revenue potentials in the mineral sector that have not been optimally tapped so far.
“Even the President ordered to find sources of income in the mineral sector that have so far been unfair to the state,” Bahlil revealed.