Sector

Energy

Indonesia possesses vast, distributed, and diverse energy resources. The country’s energy subsectors include gas, clean water, and electricity, with demand projected to increase to 464 terawatt-hours (TWh) by 2024 and further increase to 1,885 TWh by 2060. The use of renewable energy is a top priority and the government has set ambitious goals in the General Planning for National Energy (RUEN) and General Planning for National Electricity (RKUN) to integrate 23 percent renewable energy into the national energy mix by 2025. At least US$41.8 billion of investments are needed to fully realize the goal.

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Energy

Indonesia possesses vast, distributed, and diverse energy resources. The country’s energy subsectors include gas, clean water, and electricity, with demand projected to increase to 464 terawatt-hours (TWh) by 2024 and further increase to 1,885 TWh by 2060. The use of renewable energy is a top priority and the government has set ambitious goals in the General Planning for National Energy (RUEN) and General Planning for National Electricity (RKUN) to integrate 23 percent renewable energy into the national energy mix by 2025. At least US$41.8 billion of investments are needed to fully realize the goal.

Despite having a renewable energy potential estimated at around 3,000 gigawatts (GW), current utilization is merely about 12.74 GW or 3 percent. This renewable energy potential includes solar energy, which is widely spread across Indonesia, especially in East Nusa Tenggara, West Kalimantan, and Riau, with a potential of approximately 3,294 GW and utilization of 323 megawatts (MW). Another renewable energy, hydro energy, with a potential of 95 GW, is primarily found in North Kalimantan, Aceh, West Sumatra, North Sumatra, and Papua, with utilization reaching 6,738 MW.

Additionally, bioenergy, encompassing biofuel, biomass, and biogas, is distributed throughout Indonesia with a total potential of 57 GW and utilization of 3,118 MW. Wind energy (>6 m/s) found in East Nusa Tenggara, South Kalimantan, West Java, South Sulawesi, Aceh, and Papua has a substantial potential of 155 GW, with utilization of 154 MW.

Furthermore, geothermal energy, strategically located in the “Ring of Fire” region covering Sumatra, Java, Bali, Nusa Tenggara, Sulawesi, and Yogyakarta has a potential of 23 GW and utilization of 2,373 MW. Meanwhile, marine energy, with a potential of 63 GW, especially in Yogyakarta, East Nusa Tenggara, West Nusa Tenggara, and Bali, remains untapped.

Among the renewable energy sources and their potential, these projects entail significant investments. According to the Electricity Supply Business Plan (RUPTL) of the State Electricity Company (PLN), from 2021 to 2030, geothermal power plants require an investment of US$17.35 billion, large-scale solar power plants necessitate US$3.2 billion, hydropower plants require US$25.63 billion, and base renewable energy power plants require US$5.49 billion. Additionally, bioenergy power plants require an investment of US$2.2 billion, wind power plants US$1.03 billion, peaker power plants US$0.28 billion, and rooftop solar power plants IS$3 billion.

As of 2022, hydro and geothermal are the primary drivers of growth. Private entities had enhanced the capacity of hydro power by adding 603.66 MW in mini, micro, and standard hydro facilities, reaching a total of 2,459.72 MW. Meanwhile, the geothermal sector experienced a 412 MW increase over the last five years from the private sector, bringing the total capacity to 1,782.8 MW by 2022. Aside from these two renewable energy, sources solar energy has also presented significant opportunities, particularly given Indonesia's potential for floating solar systems on reservoirs and dams.

Furthermore, the country’s other national energy subsector of gas underscores Indonesia’s wealth in natural gas. Indonesia’s natural gas reserves are predominantly methane (80-95 percent), which can be used directly or processed into Liquefied Natural Gas (LNG). However, demand has greatly increased over the past decade for Liquefied Petroleum Gas (LPG). From 2018 to 2022, domestic LPG production reached between 1.9 to 2 million tons, which is insufficient to meet national needs, leading to increasing imports that reached 6.74 million tons in 2022.

Currently, the Energy and Mineral Resources Ministry is working to attract new investments for LPG refineries through a cluster-based business scheme for the construction or future development of new LPF refineries. The ministry has identified the potential of rich gas to produce an additional 1.2 million tons of LPG cylinders domestically.

Latest News

May 22, 2026

The Presidential Palace has partnered with the Indonesia New Media Forum (INMF) in a move it says could significantly expand its social media reach, potentially adding up to 100 million views per day.

Muhammad Qodari, head of the Government Communications Agency (Bakom), announced the initiative following a May 7 meeting with the group. He described INMF members as “homeless media,” referring to small, social media–based outlets that operate outside conventional institutional structures.

Typically run by one to five people, these outlets rely on platforms such as Instagram, TikTok and YouTube rather than traditional websites to distribute content. Despite their limited organizational scale, many have built large followings, underscoring their growing presence in Indonesia’s digital media landscape.

The partnership appears to align with Qodari’s stated approach to government communication. Upon his appointment in late April, he said the administration would promote its programs “intensively, proactively and aggressively.”

Formed in July 2025, INMF provides a collaborative platform for social media-based publishers adapting to shifts in how audiences consume news and information. The latest announcement signals official recognition of the group’s role in that evolving environment.

The initiative also comes as President Prabowo Subianto adjusts his communications strategy. In April, he reinstated political consultant Hasan Nasbi as special adviser on communication. Hasan previously worked on the presidential campaigns of Joko “Jokowi” Widodo in 2014 and 2019 and Prabowo in 2024.

Hasan had resigned as head of the presidential communication office in April 2025, reportedly due to internal differences. His return suggests continuity in shaping the administration’s public messaging.

He has said the INMF partnership does not constitute a formal working relationship between the government and its members. Rather, he described it as an effort to adapt official communication to current media consumption patterns, particularly on platforms that operate beyond traditional corporate frameworks.

More than a year and a half after Prabowo’s inauguration in October 2024, survey data show his approval rating remains above 70 percent, indicating sustained public support.

The President however continues to face criticisms, mostly online, although that digital space is also shrinking with reports of harassments against critics, mostly scholars and activists and a handful of critical media.

At the same time, the development highlights broader changes in the media ecosystem. Traditional print and broadcast outlets now share audience attention with a wide range of digital actors, including independent content creators, citizen journalists and online influencers.

Following Qodari’s remarks, several media organizations clarified their positions regarding INMF.

Narasi, founded by journalist Najwa Shihab, said it is not part of the forum and emphasized that it is registered with the Press Council and adheres to established journalistic standards.

Indozone, which targets millennial and Gen Z audiences, also stated that it remains independent and has no formal ties to the government. It added that its editorial staff have undergone professional competency certification. Qodari said the partnership would help expand the government’s public outreach. However, details regarding specific arrangements with INMF members were not elaborated, other than that participating outlets would have access to government information similar to conventional media and could receive support to improve reporting quality.

Many social media-based outlets do not have formal corporate structures, meaning they do not meet Press Council registration requirements and are not covered by protections under the 1999 Press Law. Nevertheless, many maintain verified social media accounts that signal authenticity to their audiences.

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