Energy security and green growth in Indonesia

Still a long way to go - Energy security and green growth in Indonesia

This policy brief addresses the opportunities and impediments of green growth and energy security in Indonesia.  Over the past 20 years, Indonesia has witnessed substantial economic growth along with a process of democratisation and decentralisation. This has resulted in a rapidly rising energy demand, which is expected to triple by 2030. Responses so far have mostly focussed on tapping into the nation’s large fossil fuel reserves while also increasing energy imports.

There are opportunities for Indonesia to couple energy security with green growth objectives. For instance by exploiting its enormous geothermal energy potential and by coupling financial and efficiency gains to green growth implementation. However, as this policy brief outlines, major challenges need to be overcome if Indonesia is to embark on a green growth trajectory.

This policy brief is part of a two-year research project on energy security and green growth in middle income countries by means of political economy analysis.