Accelerating Coal-to-Clean Transition in Southeast Asia: Coal Plant Retirement and Flexibility

Описание: For more information, click this link : https://indonesiaunfccc.com/cop30/d6/

Overview
Transitioning from coal to clean energy is one of the most critical yet challenging steps in the global fight against climate change. This session at the Indonesia Pavilion brought together policymakers, financial experts, and international partners to discuss practical solutions for retiring coal power plants early and managing their operations more flexibly during the transition period.
The dialogue underscored a unified message: "Faster, Fairer, and for Everyone." While the technology and financial tools to move away from coal exist, the challenge lies in scaling these solutions and ensuring they support economic growth and community welfare.

Key Highlights
1. Indonesia’s Firm Stance: Flexibility is a Temporary Bridge
Farah Heliantina from the Coordinating Ministry for Economic Affairs reaffirmed Indonesia's commitment to reaching Net Zero Emissions by 2060 or sooner. She emphasized that while operating coal plants flexibly (reducing their output to accommodate renewable energy) is necessary to keep the lights on, it must be a "time-bound bridge."
• Key Takeaway: Every hour of reduced coal operation must directly lead to more clean energy entering the grid. Flexibility cannot be an excuse to prolong the life of coal plants indefinitely.
2. New Global Toolkits Launched
The session marked the launch of two critical reports by the Coal Transition Commission (CTC), presented by the Powering Past Coal Alliance (PPCA):
• "From Flex to Phase-Out": A guide ensuring that coal flexibility supports, rather than hinders, the transition to renewables.
• "Growing the Pipeline of Coal-to-Clean Projects": A strategic roadmap identifying that approximately one-third of the global coal fleet is ready for early retirement using existing financial solutions today.
3. The $6 Billion Challenge: Indonesia’s Industrial Power
Paul Butarbutar from the JETP Secretariat revealed new data on Indonesia’s "captive power" sector—power plants built specifically for industries like nickel and aluminum processing.
• The Reality: There is currently 25.9 GW of captive power operating in Indonesia, predominantly coal-based.
• The Solution: Transitioning these industrial zones to clean energy through grid integration and solar power is possible but expensive. It requires an estimated investment of USD 6 billion annually until 2030.
4. Insights on Investment and Regional Cooperation
A panel of experts discussed what is needed to unlock funding:
• Investors need certainty: Private capital will only flow if governments provide clear, long-term policies and revenue guarantees.
• Don't waste grants: Lessons from South Africa showed that uncoordinated grant funding can lead to an oversupply of "consultations" without delivering concrete projects on the ground.
• Power of the Region: An integrated ASEAN Power Grid was highlighted as a game-changer, allowing Southeast Asian nations to share renewable energy resources and reduce reliance on coal collectively.

Conclusion
The path to a clean energy future requires more than just ambition; it demands precise technical planning, transparent financing, and deep international cooperation. Indonesia and its partners are moving from discussion to action, setting clear guardrails to ensure the transition is credible and just for all affected communities.


For more information, click this link : https://indonesiaunfccc.com/cop30/d6/