Jakarta. Indonesia’s transition to clean energy could create 448,000 new green jobs over the next five years, according to the Energy and Mineral Resources Ministry, as the country accelerates efforts to reduce dependence on coal and expand renewable power generation.

“The Energy Ministry estimates that within the next five years, at least 448,000 green jobs will emerge, mainly driven by the construction of renewable-based power plants,” said Pradana Indraputra, senior adviser to the energy minister, during a session at the Investor Daily Summit 2025 in Jakarta on Thursday.

Between 2025 and 2034, Indonesia plans to build a wave of new non-fossil fuel power plants, led by state utility PLN, as part of its commitment to achieving net-zero emissions by 2060.

“Renewable energy must account for a much larger share,” Pradana said. “Eventually, 70 percent of our power generation should come from renewable sources.”

Currently, the majority of Indonesia’s electricity still comes from coal-fired power plants, though the government aims to phase out coal entirely with assistance from developed countries under the Just Energy Transition Partnership (JETP) framework. The coal industry presently contributes about 3.6 percent of Indonesia’s GDP.

Last month, the ministry reported that Indonesia’s renewable energy mix had reached 16 percent, up one percentage point from earlier this year, following the commercial operation of new solar and geothermal power plants.

“We saw a significant rise to 16 percent last week, driven by the operation of geothermal plants and several small-scale solar projects,” said Eniya Listiyani Dewi, Director General for Renewable Energy.

The government aims to increase the share of renewables to 23 percent by 2030. Eniya said additional micro-hydro power plants are expected to begin operation before the end of the year, further strengthening the clean energy mix.

“We’re grateful that renewables now account for 16 percent of our energy mix. This is a meaningful step forward,” she added.

In his state address in August, President Prabowo Subianto reaffirmed Indonesia’s commitment to a fully renewable power generation system within the next decade -- or sooner if technological and financial conditions allow.

To support the transition, the government plans to allocate Rp 402.4 trillion ($25 billion) for energy security programs in 2026, nearly double this year’s Rp 203.1 trillion budget.

Indonesia’s installed renewable energy capacity stood at 15.2 gigawatts -- about 14.5 percent of total national generation -- as of mid-2025, government data show.

Analysts say that if realized, the clean energy expansion could not only reduce Indonesia’s carbon footprint but also stimulate regional job creation, especially in provinces hosting solar, geothermal, and hydro projects.

“Clean energy is not just about reducing emissions,” Pradana said. “It’s about creating opportunities for our people -- green jobs that will power Indonesia’s sustainable future.”
 

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