Energy Ministry Wins Best Investment Services Award 2021

Thursday, 25 November 2021 - Dibaca 1545 kali

MINISTRY OF ENERGY AND MINERAL RESOURCES

REPUBLIC OF INDONESIA

PRESS RELEASE

NUMBER: 414.Pers/04/SJI/2021

Date: 25 November 2021

Energy Ministry Wins Best Investment Services Award 2021

The Ministry of Energy and Mineral Resources (EMR) won first prize in the 2021 Investment Services Awards in the category of State Ministry/Agency. The award was presented by President Joko Widodo to the Minister of EMR Arifin Tasrif at the 2021 National Coordination Meeting and Investment Services Award held by the Investment Coordinating Agency (BKPM) on Wednesday (24/11).

On this occasion, Arifin said that the realized investment in the EMR sector until October 2021 reached USD19.2 billion, or 58 percent of the USD33.1 billion target.

"So, until Q3 2021, our realization reached USD19.2 billion or 58% of the target USD33.1 billion. But we'll make the effort so that by the end of December the realization will reach 81% or USD26.8 billion. Our sector has been under pressure due to the Covid-19 pandemic in 2020, and in part of 2021 because the pandemic still occurs. Procurement process, mobilization, and investment progress have become limited. We'll continue to improve our performance," said Arifin.

Arifin said that Indonesia's potential of energy, especially new and renewable energy (NRE), was very large, including solar, wind, water, geothermal, and ocean current. Based on the latest data, Indonesia's NRE potential reaches 3,600 gigawatts (GW). Such huge potential is targeted to create heavy investment as well.

"For this reason, we have prepared a roadmap, of how to achieve the Net Zero Emission (NZE) target in 2060 and how the NRE use target can support our downstream sectors. The energy sector will try to attract huge investment. Our target is that by 2060, we should be able to generate around 630 GW of electricity. This will require an investment of approximately USD100 trillion, which is a massive amount," said Arifin.

New breakthroughs are also needed to attract investment. Transportation infrastructure must be complete, while energy infrastructure must be reliable and competitive.

"To make Indonesia attractive for investment, there must be breakthroughs. First, our infrastructure must be complete. Transportation facilities must be good, for example by building roads, ports. These facilities will certainly reduce logistics problems. Then, energy infrastructure. We must build energy infrastructure that is reliable in the sense of supply reliability and competitiveness. If our energy infrastructure is reliable, our competitiveness will increase," Arifin continued.

By 2060, investment in electricity generation is planned to reach USD1 trillion. Optimizing all energy sources, including nuclear power potential, will enable Indonesia to boost investment.

"Speaking about investment in electricity generation until 2060, we will optimize all energy sources, including nuclear potential. According to our calculation, investment in each energy type will absorb approximately USD1 trillion of funds," said Arifin.

Since 2019, the Ministry of EMR has issued business licenses online, and the system is integrated with the Online Single Submission (OSS) managed by the BKPM. Additionally, thematic geospatial information maps of resource locations; oil, gas, and electricity infrastructure as well as production and processing facilities are also available online.

For the record, the 2021 Investment Service Awards evaluate performance related to One-Stop Service Center (PTSP). The competition is organized by the Ministry of Investment/Investment Coordinating Agency (BKPM).

Additionally, the competition assesses performance of Business Acceleration (PPB) by regional governments and state ministries/agencies.

The judgment of the awards was held between March and July 2021. (IY)

Head of Bureau of Communication, Public Information Services, and Cooperation

Agung Pribadi (08112213555)

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