Indonesia Energy

Chapter | Energy & Mineral Resources from The Report: Indonesia 2020

Indonesia has long been a key supplier to global energy markets, but focus has shifted from export-oriented production towards meeting domestic demand. Current objectives include meeting the demand for consumer fuel through crude and palm oil, addressing electricity demand via coal and renewables, and using natural gas to supply predominantly industrial consumers. The government aims to...

Indonesia is the world’s 16th-largest economy and presents an enticing opportunity for investors, with ongoing reform efforts and attractive demographics. Meanwhile, a booming start-up ecosystem signals the country’s rising consumer power and regional influence. While headwinds are expected to follow Covid-19, Indonesia’s strong foundations will help maintain momentum in the medium to long term.

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Oil production has been in steady decline for much of the past two decades in Indonesia, but the state aims to reverse this trend and achieve a production target of 1m barrels per day (bpd) by 2030. This will require investment from both domestic and foreign players, with policymakers searching for the right mix of state control and commercial...

 

What are your expectations for growth in the upstream oil and gas segment for the medium term?

 

Which projects are currently in the pipeline, and how will these help address rising oil imports resulting from decreased production?

 

Indonesia has long been a key supplier to global energy markets, with the first oil discovery made in North Sumatra in 1885. Energy production has grown since then to include gas, coal and renewables, but the industry’s role within the country has evolved as oil fields have matured and the population has continued to grow. The focus has...

 

Indonesia had planned to add 35 GW of new capacity by the time President Joko Widodo, better known as President Jokowi, concluded his first term in 2019. This target has not yet been achieved, and the government has reappraised its outlook for the sector in its Electricity Supply Business Plan (RUPTL) 2019-28. Several elements of the state’s...

 

Long considered one of the world’s premier mining destinations – for coal, as well as for precious and industrial metals – Indonesia finds itself in a transition period in 2020, with significant questions being raised about the future of the industry. In recent years the government has sought to expand and consolidate its role in terms of...

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