Coal Remains Indonesia’s Key Energy Pillar with 31 Billion Tons in Reserves

Admin Ugems
Een minuut lezen - Fri May 15 01:00:00 GMT 2026

coal remains the backbone of Indonesia’s national energy security amid the accelerating global energy transition. The government noted that around 60–69% of Indonesia’s electricity demand is still supplied by coal-fired power plants.Director General of Minerals and coal at the Ministry of Energy and Mineral Resources (ESDM), Tri Winarno, stated that Indonesia remains committed to maintaining a balance between energy security, economic growth, and sustainable development.“coal continues to play a strategic role in the national economy, ranging from electricity supply, job creation, contributions to state revenue and export earnings, to serving as the backbone of national energy security,” Tri said at the Indonesia-China Global Energy Conference and Expo at Jakarta International Expo, Monday (May 11, 2026).According to Tri, Indonesia has coal resources totaling 143 billion tons, with reserves estimated at around 31 billion tons. He said this potential serves as an important foundation for ensuring national energy availability in both the medium and long term.“In addition to supporting the energy sector, the coal industry also contributes significantly to the national economy through royalties, non-tax state revenue (PNBP), taxes, and export earnings valued at approximately USD 25–30 billion,” he said.However, Tri acknowledged that the coal industry is facing increasingly complex global challenges, ranging from commodity price fluctuations and rising operational costs to growing demands for the implementation of environmental, social, and governance (ESG) principles.Therefore, the government continues to promote good mining practices with a focus on workplace safety, environmental protection, post-mining reclamation, energy efficiency, as well as transparent and accountable governance.On the other hand, technological transformation is seen as key to improving the competitiveness of Indonesia’s mining industry. The use of digitalization, automation, artificial intelligence (AI), and data-based systems is believed to increase productivity and operational efficiency in mining activities.Tri also highlighted the importance of cooperation between Indonesia and China in developing smart mining, clean coal technology, energy efficiency, as well as strengthening energy supply chains and logistics.In addition to technological transformation, the government is also continuing to encourage coal downstreaming as a strategy to increase the added value of national resources. One of the projects currently being developed is coal gasification into dimethyl ether (DME) as a substitute for imported LPG.According to Tri, the energy transition must be carried out realistically, gradually, and fairly in accordance with each country’s needs.“Energy transformation does not mean abruptly stopping the use of coal, but rather managing it in a smarter, more efficient, and sustainable manner to support public welfare,” he said.Meanwhile, the Indonesia coal and Energy Expo 2026 (ICEE 2026) was officially opened at the Jakarta International Expo under the theme “Cooperation for New Development in Energy.”The event serves as a platform for coal and energy industry cooperation between Indonesia and China, focusing on green mining, clean coal, smart mining, and new energy integration.



Source https://djakarta-miningclub.com

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