Lawmaker Urges Increased Budget Allocation for New and Renewable Energy

RRI.CO.ID, Jakarta - Energy security and the acceleration of the clean energy transition were the focus of discussions on the Indonesian Ministry of Energy and Mineral Resources’ 2027 Budget. Strengthening funding support for New and Renewable Energy (NRE) is considered essential to achieve national decarbonization targets more quickly.

Deputy Speaker of the People’s Consultative Assembly, Eddy Soeparno, urged the ministry to review its proposed 2027 Budget Framework by increasing allocations for the NRE sector. “This is crucial to demonstrate Indonesia’s commitment to accelerating the energy transition,” Eddy said in Jakarta on Thursday, June 18, 2026, as quoted by Antara.

He made the statement in response to discussions of the proposed budget framework during a joint working session between the House of Representatives’ Commission XII and the Minister of Energy and Mineral Resources, Bahlil Lahadalia, on Monday, June 15.

Eddy noted that the budget allocation for NRE is about IDR 1.5 trillion (USD 84.29 million), far below the allocations for oil and natural gas (IDR 11.4 trillion) and electricity (IDR 10.3 trillion). He stressed that a review is necessary so the NRE budget better reflects Indonesia’s energy transition targets.

At the same time, Eddy welcomed the ministry’s focus on strengthening energy security and equity through gas network programs. “We also appreciate the ministry’s budgetary commitment to building rural electricity grids and providing free electricity installation assistance, so that energy equity reaches communities across the archipelago,” said Eddy. ***