Govt Urges Mining SOEs to Lead Decarbonization Efforts

RRI.CO.ID, Jakarta - The Indonesian National Energy Council (DEN) is encouraging state-owned mining enterprises to become early movers in decarbonizing the mineral and coal-based energy sector.

DEN Secretary General Dadan Kusdiana said the government enacted Government Regulation (PP) No. 40/2025 on the national energy policy (PP KEN) on September 15, 2025.

The regulation was introduced to support the 8 percent economic growth target in the 2025–2029 National Medium-Term Development Plan (RPJMN), as well as the 2025–2045 National Long-Term Development Plan (RPJPN), which projects 6 percent to 7 percent growth.

This policy aims to create national energy independence and security while moving towards energy self-sufficiency. It also fulfills Indonesia’s commitment to decarbonizing the energy sector, strengthening national climate defense, and supporting green economic development.

“The mineral and coal sectors play a strategic role, not only in meeting current domestic and industrial energy needs, but also in laying the foundation for a cleaner energy system,” said Dadan at the DEN Seminar and Socialization event in Jakarta on Friday, February 27, 2026.

The clean energy initiative is being implemented through coal downstreaming consolidation and the utilization of essential minerals such as nickel, cobalt, copper, aluminum, and manganese for clean energy and battery technologies. Dadan also highlighted the development of green metals in Indonesia’s new and renewable energy industry.

He emphasized that national energy management and the energy transition can only be achieved through close collaboration among all stakeholders, including the government, financial institutions, businesses such as the national mining holding company MIND ID, research institutions, and non-governmental organizations.

“(Business actors must be) in an integrated ecosystem to encourage financing, innovation, human resource development, the application of clean technology, and increased public awareness to strengthen national energy security in the future,” said Dadan.

In the latest National Energy Policy (KEN), the target for new and renewable energy in the national energy mix is set at 23 percent by 2030, rising to 46 percent by 2045.

The realization of renewable energy in 2025 is expected to reach 15.75 percent. In detail, the capacity of renewable power plants includes 7,587 Megawatts (MW) from hydro, 3,148 MW from bioenergy, 2,744 MW from geothermal, 1,494 MW from solar, 450 MW from coal gasification, 152 MW from wind, 36 MW from waste, and 18 MW from other sources.

The MIND ID Group has recorded that its renewable energy mix has reached around 39 percent of its total energy consumption of 46 million GigaJoules (GJ). Dadan noted that this achievement is among the largest compared to other electricity, oil, and gas companies. “Even the state-owned electricity company PLN is not as high, and the state-owned oil and gas company Pertamina is below that,” he said.

With this achievement, state-owned mining companies are expected not only to remain commodity producers but also to gradually and sustainably realize the national energy transition and energy security agenda. (Gusti Panji/Lasti Martina)