Indonesia's Renewable Energy Share Increases to 16% Amid Ambitious Growth Targets

Indonesia's renewable energy landscape is experiencing a notable shift, with the share of renewables in the national energy mix climbing to 16%, a one-point increase from earlier this year. This advancement is attributed to the recent commercial operations of non-fossil fuel power plants, particularly solar and geothermal facilities, as reported by the Ministry of Energy and Mineral Resources. Eniya Listiyani Dewi, the Director General for Renewable Energy, highlighted the pivotal role that geothermal plants and small-scale solar projects have played in achieving this milestone.

The Indonesian government has set an ambitious target for renewables to constitute 23% of the national energy mix by 2030, reflecting a commitment to transition away from traditional coal dependency, which continues to dominate the sector. Eniya expressed optimism about the progress made thus far, noting that the renewable share reached 16% ahead of year-end expectations, and anticipated that new micro-hydro plants would soon come online as well.

In a recent address, President Prabowo Subianto illustrated a bold vision for the future, aiming for 100% renewable power generation within the next decade. To facilitate this transition, the government plans to allocate approximately RP 402.4 trillion (around $25 billion) for energy security in 2026, nearly doubling the budget from this year. Prabowo underscored the importance of solar, hydropower, and geothermal energy as foundational elements of Indonesia's renewable energy expansion.

Currently, Indonesia's installed renewable capacity stands at 15.2 gigawatts, equating to 14.5% of total national generation as of mid-2025. Despite these advancements, energy experts caution that Indonesia's renewable share still lags behind other major emerging economies, such as India and Brazil, which have reported significantly higher contributions from renewable sources. Addressing this gap will require sustained investment and comprehensive regulatory reforms to ensure that Indonesia meets its ambitious green energy targets.