Indonesia Creates Coordinating Ministry for Downstreaming, Energy Transition

RRI.CO.ID, Jakarta – Indonesian President Prabowo Subianto established the Coordinating Ministry for Downstreaming and Energy Transition, appointing Bahlil Lahadalia as Coordinating Minister. Despite that, Bahlil still retain as Minister of Energy and Mineral Resources, making him serves in two positions.

In a statement following his inauguration at the Presidential Palace complex in Jakarta on Thursday, October 1, 2026, the Minister further said the Coordinating Ministry for Downstreaming and Energy Transition is tasked with accelerating downstreaming and the energy transition as part of efforts to achieve the eight missions of the Prabowo administration, known as Asta Cita. He added that, as part of Indonesia’s commitment to the Paris Agreement, the implementation of priority downstreaming and energy transition programs cannot be carried out partially.

"We know that the President has programs, one of which under Asta Cita concerns downstreaming and the energy transition, and we must be able to consolidate these efforts through the Coordinating Ministry so that we can accelerate their implementation going forward," he said, as quoted from the Indonesian Presidential Secretariat.

The Coordinating Ministry for Downstreaming and Energy Transition will oversee the coordination, synchronization, and control of ministerial affairs in government administration related to industrial downstreaming and the acceleration of the energy transition. This includes the Ministry of Energy and Mineral Resources and the Ministry of Investment and Downstreaming/Investment Coordination Board.

The establishment of the coordinating ministry aims to accelerate the integration of strategies for adding value to raw commodities with the agenda of achieving Net Zero Emissions through the transition to renewable energy in Indonesia. Bahlil said it will temporarily be based at the Ministry of Energy and Mineral Resources, partly because 90 percent of downstreaming investment is concentrated in the sector.

"The office will remain at the Ministry of Energy and Mineral Resources while we monitor the progress. I see that our focus is on downstreaming. Of the total investment, 90 percent is in the energy and mineral resources sector," he added.

Minister Bahlil also emphasized that he would carry out his duties in accordance with the authority Prabowo granted through a presidential decree. He stated that every presidential aide must carry out their duties based on the provisions and mandates given.

"I am simply carrying out the instructions in the Presidential Decree, Mr. President, because we understand that all authority regarding state administration is vested in the President and delegated to his assistants. As a good assistant to the President, I will obey and submit to the instructions and what is stated in the Presidential Decree," Bahlil said.