The Indonesian Government has launched a new program to develop 100 GW of additional capacity in the country by 2040, which includes 75 GW of non-CO2 emitting capacity, such as geothermal, hydropower, and nuclear energy. It will also implement carbon capture and storage programmes, as Indonesia its carbon storage potential at 500 Gt. The scheme is expected to require an investment of US$235bn. The announcement was made on the sidelines of COP29 in Baku, Azerbaijan.
In its updated Nationally Determined Contribution (unveiled in 2022), Indonesia increased the country’s unconditional emission reduction target from 29% in 2030 to 31.89% compared to a business as usual (BAU) scenario. Indonesia is still very reliant on fossil fuels, as in 2023, 67% of its power production came from coal, and 18% came from gas, while 12% came from renewables (comprising hydro, wind and solar). The country targets net-zero emissions by 2060.
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