Minister supports development of renewable energy-based cooperatives

Minister of Cooperatives Ferry Juliantono is encouraging the development of renewable energy-based cooperatives as part of efforts to strengthen the green economy while enhancing community economic independence at the village level. Speaking at the opening of the Green Economy Forum of the Padjadjaran University Alumni Association in Jakarta on Wednesday, Ferry said cooperatives have a strategic role in supporting the sustainable development agenda because they can manage resources productively, fairly, and sustainably, as well as strengthen community participation in national economic transformation. “To reinforce this role, the Ministry of Cooperatives is promoting various activities for developing renewable energy-based cooperatives, so that this instrument of village economic independence can also develop simultaneously,” Ferry said, as quoted from a press statement. He cited one initiative currently being run by the government through the Red and White Village/Sub-district Cooperative programme. In its implementation, he said the ministry found that there are still a number of villages that do not have adequate access to electricity and still rely on diesel-fuelled generators that can only operate for a few hours each day. To address this issue, Ferry said the Ministry of Cooperatives is collaborating with state electricity company PT PLN (Persero) to develop a pilot solar power plant for village cooperatives on Sembur Laut Island, Batam City. “We discussed with PT PLN and built a solar power plant with a capacity of 6 megawatts as a pilot project in Sembur Laut. It can be inaugurated soon as a pilot model,” Ferry said. He expressed hope that the model can be replicated in various villages that have not yet obtained adequate access to electricity. He believes the use of renewable energy can help reduce energy costs that have been a burden for communities in remote areas still relying on diesel fuel. However, he acknowledged that the development of the green economy in Indonesia still faces a number of challenges, ranging from strengthening human resource capacity, technology mastery, and cross-sector coordination, to the need for adequate financing. Ferry added that the transformation towards a green economy cannot rely solely on government policies or large business actors, but also needs to grow from the community level through public participation.