Indonesia, Germany Cooperate on USD 20 Billion Energy Partnership at ISEW 2026

RRI.CO.ID, Jakarta — Germany has reaffirmed its support for Indonesia’s renewable energy ambitions, including investment opportunities for German companies, At the Indonesia Sustainable Energy Week (ISEW) 2026 in Jakarta on Wednesday, August 19, 2026, German Federal Minister, Reem Alabaliradovan, said Germany was ready to support Indonesia’s renewable energy development, including President Prabowo Subianto’s 100-gigawatt solar power initiative.

“With President Prabowo's 100 gigawatt solar initiative, Indonesia is sending a strong signal that you are committed to an ambitious climate action and that you are investing in greater energy sovereignty. Germany stands ready to support Indonesia in this path,” Radovan said.

She also highlighted the Just Energy Transition Partnership (JETP), through which USD 20 billion is being mobilized for Indonesia’s energy transition.

“Through the JETP, 20 billion US dollars are being mobilized for Indonesia's energy transition. Roughly half of this comes from public sources and the other half from the private sector,” she said.

Meanwhile, Minister of National Development Planning and Head of the National Development Planning Agency, Rachmat Pambudy, mentioned the high potential of renewable energy development in Indonesia.

“Sumatra has more than 1,200 gigawatts of renewable potential, while Maluku and Papua together have more than 900 gigawatts,” Pambudy said.

On the same occasion, he mentioned the uneven distribution of renewable energy resources and population across the archipelago, highlighting the need to align Indonesia’s energy transition with spatial planning. He stressed that renewable energy development must be accompanied by the expansion of transmission infrastructure to connect energy resources with population and industrial centers.

“Indonesia must connect its energy transition with its spatial transformation. We cannot develop renewable generation without simultaneously building the transmission infrastructure needed to move that electricity,” he said.

Vice Minister of Energy and Mineral Resources, Yuliot Tanjung, said Indonesia is targeting an 18 to 21 percent share of new and renewable energy in its energy mix by 2026. He also highlighted economic cooperation between Indonesia and Germany, including efforts to accelerate negotiations on the Indonesia-European Union Comprehensive Economic Partnership Agreement (EU-CEPA).

“Accelerating the trade agreement, both nations are pushing expedite the conclusion of negotiations for Indonesia-European Union Comprehensive Economic Partnership Agreement, EU-CEPA,” Tanjung said.

He added that Indonesia and Germany are advancing energy-transition cooperation through the German-Indonesian Energy Transition Partnership (G-TEP). It will be supported by funding, technical assistance and technology transfer from the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ).

The cooperation includes efforts to support the phased retirement of coal-fired power plants and prepare renewable energy projects, including hydropower, solar and geothermal generation. The partnership also covers decarbonization of Indonesia’s manufacturing sector, smart-grid development and exploration of green hydrogen technologies, as the two countries seek to strengthen sustainable industrial development.