Investment Needs of Indonesia's Just Energy Transition: A Framework

The document outlines a framework for financing a just energy transition in Indonesia, emphasizing the need to address socioeconomic risks for workers and communities affected by the retirement of coal power plants. It highlights the potential for renewable energy to create between 2.1 million and 3.7 million direct jobs by 2030 and notes a total investment requirement of approximately USD 97 billion to meet 2030 climate targets. The proposed framework focuses on 'restorative justice' through preventative actions, such as reskilling and debt refinancing, and transformative actions, such as green job creation and the development of renewable energy cooperatives.

• Indonesia has set ambitious renewable energy targets, including a goal of 61% renewable energy in the Electricity Supply Business Plan (RUPTL) 2025-2034 and a target of 100% renewable energy by 2035.
• The transition to renewable energy in Indonesia could create between 2.1 million and 3.7 million new direct jobs by 2030, according to GGGI estimates.
• The Comprehensive Investment and Policy Plan (CIPP) of the Just Energy Transition Partnership (JETP) estimates that approximately USD 97 billion is required to meet Indonesia's 2030 climate targets.
• To achieve restorative justice, the report suggests policymakers focus on preventative actions (such as reskilling and debt refinancing) and transformative actions (such as green jobs and RE cooperatives) to mitigate losses and ensure net benefits.

APA

Climate Policy Initiative (2025). Investment Needs of Indonesia's Just Energy Transition: A Framework. https://www.climatepolicyinitiative.org/publication/investment-needs-of-indonesiasjust-energy-transitiona-framework/

Chicago

Climate Policy Initiative. Investment Needs of Indonesia's Just Energy Transition: A Framework. 2025. https://www.climatepolicyinitiative.org/publication/investment-needs-of-indonesiasjust-energy-transitiona-framework/.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=Investment Needs of Indonesia's Just Energy Transition: A Framework |date=8 October 2025 |url=https://www.climatepolicyinitiative.org/publication/investment-needs-of-indonesiasjust-energy-transitiona-framework/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2025investment, author = {{Climate Policy Initiative}}, title = {{Investment Needs of Indonesia's Just Energy Transition: A Framework}}, institution = {Climate Policy Initiative}, year = {2025}, month = oct, url = {https://www.climatepolicyinitiative.org/publication/investment-needs-of-indonesiasjust-energy-transitiona-framework/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }