How Indonesia can accelerate the energy transition at G20

This year, many countries will also be looking to see if Indonesia is willing to update its national climate plan, aligning with commitments made in Glasgow last year. There, Indonesian policy makers have a chance to set out a national Just Transition pathway towards ending coal, clearly highlighting the support it needs to scale up clean energy.

This would send a clear message across the G20 of the need to operationalise the string of powerful commitments made in 2021.

At the cusp of a global energy transition, Indonesia has an incredibly important role in trying to push the G20 to both support and accelerate this transition. As G20 President, Indonesia’s diplomatic and domestic efforts to accelerate this transition will go hand in hand.

As the host of the G7 this year, Germany has already committed to use its Presidency to support developing and emerging countries in their own transition away from coal, oil, and gas and towards renewable energy sources. Importantly, Germany has also backed up this mission with its newly updated domestic aim to phase out coal by 2030.

Indonesia could work collaboratively with Germany to ensure that the G7 not only aligns its priorities with the G20, but commits the world’s biggest economies to invest in overcoming the challenges to rapidly phase down coal, especially in developing countries.

Through its Energy Transition Mechanism partnership with the Asian Development Bank, Indonesia is taking proactive steps to develop financial solutions to speed up the global energy transition away from coal.

However, this partnership has only just begun. Making concrete steps to advance it throughout the year could open up an opportunity for G20 partners to enhance similar coal retirement mechanisms in Bali, as well as clean energy initiatives to bolster energy security.

Recently, the head of the International Energy Agency, Fatih Birol, has described the challenge to phase out coal, and decarbonise the world’s energy systems as a “Herculean effort”.

However, in the lead up to this year’s G20, we believe that pure strength alone will not be able to overcome this complex geopolitical challenge. Rather, the unique blend of skill, bravery and intelligence exhibited by Timun Mas as she faced down Buto Ijo may be just the model for Indonesia’s leadership team to follow as they aim to forge the Sustainable Energy Transition.