At the G20 summit in November 2022, Indonesia and international partners launched a Just Energy Transition Partnership (JETP), featuring accelerated coal transition and a major new set of ambitious climate targets for Indonesia backed by roughly $20 billion of new finance from the United States and other G7 partners. As Indonesia develops and implements a full plan to achieve the JETP goals, more policies and innovative mechanisms will be adopted to push early retirements and accelerated transitions of coal power plants. It is critical that plant owners and developers understand and be prepared for the rapidly changing conditions around the coal power sector in Indonesia.
To help international developers, particularly Chinese companies, better understand the potential implications of Indonesia’s JETP on their overseas coal power projects, this paper summarizes one possible pathway with detailed early retirement schedule for Chinese-involved IPP plants under Indonesia’s accelerated coal transition
Key results from this research can therefore help inform the international coal power developers in Indonesia about a possible early retirement schedule for their assets to better understand the potential implications of JETP.