By Romel S. Gurky
Coordinating Minister for Economic Affairs Airlangga Hartarto welcomed a visit from the Chairman of the Japan Bank for International Cooperation (JBIC), Tadashi Maeda, and the Ambassador for the Promotion of the Asia Zero Emission Community (AZEC), Takio Yamada, in Jakarta on Friday, February 21. During the meeting, they discussed the development of the AZEC initiative and future plans for collaboration on energy transition projects.
Airlangga highlighted that the AZEC initiative was one of the key topics during the meeting between Indonesian President Prabowo Subianto and Japanese Prime Minister Shigeru Ishiba in January.
"We must promptly fulfill the commitment made by both heads of state regarding the development and implementation of flagship projects under the AZEC framework, particularly the Muara Laboh Geothermal Power Plant," said Airlangga, as quoted in a statement from his office.
Maeda shared updates on JBIC's cooperation in Indonesia, including the ongoing energy transition partnership with state-owned electricity company PT PLN, specifically in the development of the Java-Sumatra transmission network. He also presented Japan's new renewable energy strategy, which aims to meet the country's renewable energy needs by 2040.
"Japan looks forward to Indonesia’s support in implementing this strategic plan and, more broadly, in meeting the renewable energy needs of both nations," Maeda stated.
Ambassador Yamada expressed his appreciation for the Indonesian government’s support of AZEC cooperation in pursuit of shared net-zero emissions goals. He also emphasized the upcoming Ministerial Meeting, which will focus on advancing AZEC projects.
Read also: Indonesia proposes green energy projects for JBIC funding
Airlangga welcomed these initiatives and encouraged the immediate implementation of ongoing projects to reach the production stage. He also proposed collaboration on several projects, including the solar power plant (PLTS) being developed in Riau, the ASEAN Power Grid transmission, and the development of palm oil-based aviation fuel. Addressing challenges in project development, Airlangga reaffirmed Indonesia's commitment to facilitating the debottlenecking process to accelerate project implementation.
"Indonesia hopes for continued progress in AZEC projects, particularly the Legok Nangka PLTSa (waste power plant) project, which could serve as a pilot project," he said.
The meeting also reviewed the Expert Group Meeting report, which categorized AZEC development projects in Indonesia. Category I projects (commercially viable and ready for implementation) include the Muara Laboh Geothermal Power Plant in West Sumatra, the Legok Nangka PLTSa, and the development of Sustainable Aviation Fuel (SAF). Category II projects (potential projects nearing commercialization but still in the feasibility stage) include the Kayan Hydroelectric Power Plant, peatland management, and the Java-Sumatra transmission network. Category III projects (in the pilot phase) involve new geothermal technologies, green ammonia production, hydrogen development for transportation, and Biofuel/Bio-Avtur production.
"We aim to advance projects from Categories III and II to Category I so that their economic benefits can be realized as soon as possible," Airlangga concluded.
Editing by Reiner Simanjuntak
-600-x-500.jpg)
