What Can Indonesia Learn from South Africa Experience of the Just Energy Transition Process?

The document analyzes the organizational structure, funding, and implementation challenges of South Africa's JETP, highlighting the gap between policy targets and practical execution. It compares the energy landscapes of South Africa and Indonesia, emphasizing the critical need for transmission grid upgrades and the social protection of coal-dependent regions. Key recommendations for Indonesia include ensuring broad government consensus, translating commitments into legislation, and prioritizing social benefits to ensure a truly 'just' transition.

• South Africa's JET Investment Plan (JET IP) identifies a total investment requirement of ZAR 1,48 trillion (USD 98 billion) over five years, with the electricity sector receiving the highest priority at 48% of the total budget allocation.
• The South African JETP process has faced a 'policy implementation gap' driven by a lack of civil society consultation, misestimation of the political landscape, and internal government opposition to the phase-out of coal.
• A significant challenge in the South African JETP is the imbalance between funding for energy infrastructure and funding for social support; grants and technical assistance make up less than 4% of the commitment, while concessional loans account for 63%.
• Both South Africa and Indonesia face critical transmission grid constraints that hinder the integration of renewable energy; South Africa has prioritized grid investment by allocating 20% of its electricity infrastructure funds to this area.
• The transition in South Africa focuses heavily on the Mpumalanga Province, which contains 12 of Eskom's 15 coal-fired power plants and employs approximately 90,000 people in mines and plants.
• Indonesia's energy transition is complicated by its role as the world's largest coal exporter since 2005 and a high reliance on coal royalties, which accounted for over 80% of non-tax revenue from the minerals and mining sector in 2022.

APA

Suharsono, A., & Maulidia, M. (2023). What Can Indonesia Learn from South Africa Experience of the Just Energy Transition Process? International Institute for Sustainable Development. https://www.iisd.org/system/files/2023-07/indonesia-south-africa-jetp-lessons.pdf

Chicago

Suharsono, Anissa, and Martha Maulidia. What Can Indonesia Learn from South Africa Experience of the Just Energy Transition Process? International Institute for Sustainable Development, 2023. https://www.iisd.org/system/files/2023-07/indonesia-south-africa-jetp-lessons.pdf.

Wikipedia

{{cite report |last1=Suharsono |first1=Anissa |last2=Maulidia |first2=Martha |title=What Can Indonesia Learn from South Africa Experience of the Just Energy Transition Process? |publisher=International Institute for Sustainable Development |date=July 2023 |url=https://www.iisd.org/system/files/2023-07/indonesia-south-africa-jetp-lessons.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{suharsono2023what, author = {Suharsono, Anissa and Maulidia, Martha}, title = {{What Can Indonesia Learn from South Africa Experience of the Just Energy Transition Process?}}, institution = {International Institute for Sustainable Development}, year = {2023}, month = jul, url = {https://www.iisd.org/system/files/2023-07/indonesia-south-africa-jetp-lessons.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }