Government Urged to Build National Platform for Green Transition Projects
Jakarta (ANTARA) - The Government has been urged to build a national platform bringing together comprehensive data on green transition projects to ensure that green-finance commitments are realised.
Economist Yusuf Rendy Manilet of the Center of Reform on Economics (CORE) told ANTARA in Jakarta on Saturday that, following the annual meetings of the International Monetary Fund (IMF) and World Bank, the task is not to seek new financing commitments but to ensure existing pledges translate into tangible disbursements.
As of January 2026, only US$3.4 billion of the US$21.8 billion committed under the Just Energy Transition Partnership (JETP) had been realised. Yusuf therefore said the main challenge was not the availability of capital, but project readiness and the quality of execution.
“The first priority is to increase the number of projects that are suitable for financing. The Government needs to build a single national platform listing priority projects, feasibility studies, standardised electricity purchase agreements, risk-sharing arrangements and a firm tender schedule,” Yusuf said.
Project readiness must also be accompanied by transmission development to ensure that grid connections are available where renewable energy plants are located.
“By the first half of 2025, only 1.6 GW of the 10 GW target in the previous Electricity Supply Business Plan (RUPTL) was in commercial operation. That is why projects such as the Green Energy Corridor in Sulawesi need to be accelerated, and shared use of transmission networks should be opened up so the private sector can invest,” he said.
The next challenge is the cost of capital, Yusuf said. Renewable energy projects are vulnerable to high interest rates, a weakening rupiah and risk premiums. The Government should therefore expand guarantees, rupiah-denominated financing and hedging facilities.
Yusuf stressed that the success of the green transition should be measured by project delivery, private investment, job creation and emissions reductions, rather than commitments alone.