Indonesia Signs Rp 358 Trillion Investment In Green Economy Sector

The Indonesian government, through the Ministry of National Development Planning/Bappenas, officially announced an investment commitment of US$ 22 billion or around Rp358.4 trillion (assuming an exchange rate of Rp16,294/US$) from international partners, Equator Renewable Asia, Keppel Ltd, Vanda RE, and Gurin Energi, for the development of Green Sustainable Industrial Zones that have large-scale solar power plants. 

This investment commitment was successfully signed in the midst of the implementation of the 2025 World Expo which is currently taking place in Osaka, Japan. 

"Today's signing is part of Indonesia's strategic plan to develop a Green Economic Corridor in the Riau Islands, starting with the construction of large-scale Solar Power Plants in Batam, Bintan, and Tanjung Pinang," said Deputy Minister of National Development Planning/Deputy Head of Bappenas Febrian Alphyanto Ruddyard, in his remarks at the Business Forum and Joint Statement on the Development of Sustainable Green Industrial Areas, Thursday (29/5), at the Indonesia World Expo 2025 Osaka Pavilion. 

As an initial implementation of this cooperation program, the first pilot project in Indonesia in the field of integrated renewable energy from upstream to downstream will soon be built. Deputy Minister Febrian said that this project is the result of the proactive steps of the Ministry of National Development Planning/Bappenas in encouraging new initiatives as part of the National Strategic Project (PSN), in line with the 2026 Government Work Plan (RKP) which carries the theme "Food and Energy Sovereignty and a Productive and Inclusive Economy." 

This project is targeted to open thousands of jobs and attract investment ranging from the electronics, semiconductor, biotechnology, data center, to green hydrogen sectors. 

The Ministry of National Development Planning/Bappenas affirmed its commitment to ensure that project implementation can run effectively in accordance with applicable laws and regulations, and become part of Indonesia's efforts to begin the transition to an inclusive and globally competitive green economy. "Indonesia welcomes the opportunity for multi-party collaboration that can bring benefits such as technology transfer, research collaboration, and for commercial investment that is in line with the principles of sustainability and innovation. We want to ensure that the clean energy transition not only has an impact on achieving greenhouse gas emission targets, but also creates new economic growth that is inclusive and equitable throughout Indonesia," concluded Deputy Minister Febrian. 

Tag: Bappenas Green Economy Sector Japan Osaka