Measuring Indonesia’s Energy Security in the Energy Transition: Policy directions and strategic investment

Indonesia's energy system remains heavily reliant on fossil fuels, exposing the country to global price volatility, import dependency, and fiscal pressures. At the same time, Indonesia has been advancing its energy transition through renewable development and energy efficiency efforts to build a more secure, affordable, and sustainable energy system. As this transition involves important policy trade-offs, stronger coordination, integrated planning, and cross-government collaboration have become increasingly important to support long-term energy security.

Organized by IISD and Pertamina University, this focus group discussion brought together policy-makers, state-owned enterprises, civil society, researchers, development partners, and diplomatic representatives to discuss Indonesia's energy security priorities and challenges within the context of the energy transition. This included topics of policy and investment direction to strengthen Indonesia's long-term energy resilience.

During the discussion, participants:

• Shared perspectives on key risks, challenges, and strategies related to strengthening Indonesia's energy security amid global energy transition and geopolitical uncertainties,
• Strengthened a common understanding of energy security objectives, including energy availability, affordability, accessibility, sustainability, and a diversified energy mix aligned with Indonesia's long-term development and net-zero emission goals,
• Identified key policy, governance, and investment frameworks needed to support energy security, energy transition, and long-term resilience in Indonesia.