The 2024 International Sustainability Forum (ISF) proved to be a landmark event, bringing together global leaders, experts, and stakeholders to address critical sustainability challenges. Indonesia was prominently represented, with key ministers in attendance, underscoring the nation’s commitment to achieving its sustainable development goals (SDGs). Below is an overview of the most impactful sessions and takeaways from this prestigious two-day event.
Day 1: Agendas and Key Takeaways
New Energy Sources
On the first day, PT Pertamina highlighted the vast potential of geothermal energy in Indonesia, which possesses the world’s second-largest geothermal capacity at 24 GW (17% of the global total). The session emphasized several key initiatives to harness this potential effectively. These included mitigating exploration risks by addressing sub-surface challenges and high initial capital requirements. Additionally, the discussion focused on reducing project completion times, which currently average 7–8 years post-final investment decision (FID). Pertamina also explored ways to accelerate innovation by tackling regulatory hurdles and diversifying into local manufacturing and green ventures to stimulate economic growth.
Industrial Energy Efficiency and Digitalization
The International Energy Agency (IEA) led a session on strategies for improving energy efficiency in industrial sectors, which are ASEAN’s largest energy consumer and a critical focus for decarbonization. The IEA outlined regulatory measures such as Minimum Energy Performance Standards (MEPS), mandatory energy audits, and comprehensive reporting systems. To encourage compliance, they proposed incentives like tax benefits, subsidized audits, and preferential financing. Empowering Energy Service Companies (ESCOs) was also highlighted as a key approach to integrating digital technologies for benchmarking and efficiency improvements.
Accelerating Electric Vehicle Infrastructure and Hydrogen Solutions
PT PLN shared its ambitious plans for expanding Indonesia’s electric vehicle (EV) infrastructure and pioneering hydrogen solutions. Key points included the development of accessible and affordable EV charging stations, alongside enhancing user experiences via the PLN Mobile app. The session also delved into scaling up green hydrogen production, targeting 203 tons per year from 22 hydrogen plants across the country. PLN underscored its commitment to phasing out fossil fuels and exploring hydrogen export opportunities as part of Indonesia’s broader decarbonization strategy.
Day 2: Agendas and Key Takeaways
Financing Energy Transition
On the second day, the Indonesia Energy Transition Implementation (IET) Joint Office presented innovative financial strategies for supporting Indonesia’s energy transition. The session emphasized the importance of strengthening regulatory frameworks to attract Public-Private Partnerships (PPPs). Diversifying funding sources through blended finance mechanisms and thematic bonds was also discussed, along with leveraging carbon taxes and markets to stimulate investment in sustainable projects.
Decarbonization Opportunities in ASEAN
Finance Minister Sri Mulyani Indrawati delivered a compelling presentation on Indonesia’s financial roadmap for meeting its Nationally Determined Contributions (NDCs). She noted that the energy sector alone requires IDR 3,500 trillion (USD 245.99 billion) by 2030 to achieve these goals. The Minister outlined strategies for utilizing domestic resources, including the national budget (APBN), carbon trading, and private investments. International financing, such as bilateral agreements, multilateral institutions, and green bonds, was also highlighted as critical to bridging the funding gap.
Unlocking Southeast Asia’s Green Economy
The session organized by Standard Chartered focused on addressing the USD 1.5 trillion investment gap in Southeast Asia’s green economy. Speakers discussed the need for expanding government-backed financial support and encouraging corporate investments through innovative financing models. Regional collaboration was also emphasized, with a call for launching pilot projects to demonstrate the feasibility and scalability of green initiatives.
Conclusion
The ISF 2024 offered profound insights and actionable strategies to propel Indonesia’s sustainable development ambitions. Key themes included the significance of public-private collaboration, the importance of innovative financing models, and the urgent need to adopt advanced technologies. These takeaways can serve as a foundation for shaping policies and driving impactful projects, ensuring Indonesia’s leadership in the global sustainability movement.