With a population of over 234 million, Indonesia is the fourth most populous nation in the world, and one of the world’s highest performing emerging markets.
Australian exports to Indonesia are valued at $4.5 billion, and with the Association of Southeast Asian Nations-Australia-New Zealand Free Trade Agreement in place, there are exciting opportunities for growth across the renewable energy spectrum in this region.
Clean energy in Indonesia is an industry that receives growing attention from the Indonesian Government. The Government’s commitments to meeting energy demand and securing energy supply for the future, while at the same time working towards greenhouse gas emissions reductions, have encouraged Indonesian stakeholders to consider a range of renewable energy alternatives over traditional power generation.
To ensure sustainable growth in Indonesia, its Government has set a clean energy target of 17 per cent of total energy consumption by 2025.
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To meet this, policy and incentive programs in Indonesia are being updated to encourage private investment in the development of renewable power – particularly hydroelectric power, geothermal, solar, bioenergy and wind.
Indonesia’s Economic master plan 2011-25 recently identified 17 projects worth $22.26 billion for the country to implement in coming years, including investments in hydroelectric and solar power plants.
Clean tech in Indonesia
The Australian Trade Commission (Austrade) recently released a report which highlights the opportunities in Indonesia aligned with Australian clean energy expertise.
The report, Trade opportunities in the low emissions technology and services sector in Indonesia, is based on interviews with over 30 executives across business, project developers, aid agencies and local and central government, and presents market insights and summarises future renewable energy directions in Indonesia.
This report has identified opportunities for Australian clean energy companies, including:
- Education – training, research and development for renewable energy development and deployment (hydropower and solar photovoltaic)
- Co-operation – public sector advisory (regulatory, standardisation and testing, capacity building and tendering systems/processes)
- Independent power producers – geothermal, hydro and biomass/biogas projects
- International donor programs – consulting or as technology providers (technical assistance, optimisation and efficiency).
Austrade is inviting Australian businesses with suitable capabilities to contact the organisation and present an overview of their company, which will then be featured in an Indonesian-language program disseminated to key contacts in clean energy.
Companies will receive information on areas of high potential for their business, based on feedback from Indonesian contacts.
To view the Trade opportunities in the low emissions technology and services sector in Indonesia report, visit www.austrade.gov.au
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