Taskforce ESC B20 Recommends Policies for a Sustainable Energy Transition

JAKARTA - The B20’s program in the Task Force Energy, Sustainability, and Climate (ESC) has several actions that must be taken immediately, including accelerating the transition to sustainable energy use. For this reason, on Friday (20/5/2022), Task Force ESC held a side event entitled Transition to Cleaner Energy for Mobility and Other Towards Zero-Emission in a hybrid (Offline-Online) in Jakarta.

As is known, challenges regarding world energy issues are increasingly concerning. The threat of climate change brings misery to the world community. Furthermore, the danger and effects of war in Europe and conflicts in various parts of the world negatively impact the global economy.

Not only that, efforts for national and global economic recovery from the impact of the COVID-19 pandemic and its derivatives have encountered serious challenges and obstacles, which tend to run slowly.

The Task Force ESC side event discussed strategic issues with stakeholders to address the challenges. First, the need to increase joint strategic efforts from all sectors to accelerate further carbon emission reductions in line with the National NDC targets towards the Energy Transition Goals and NZC 2060, especially in the sectors that consume the largest energy, such as Industry, Transportation, and Building.

Second, the need to strengthen clear, consistent, and effective policies and regulations in encouraging the use of Clean and Renewable Energy accompanied by massive and measurable energy efficiency and conservation efforts.

Third, the need to build the national clean energy production capacity to be more independent and sustainable, including implementing a downstream strategy for the entire national energy production process to obtain an added value that increases state revenues.

Fourth, the need for public awareness to create a large national market and ensure the absorption of EBT production also the EE application in all sectors of the national economy to reduce energy intensity in maintaining and increasing the competitiveness of the national economy.

The chairman of B20 Indonesia, Shinta Widjaja Kamdani, said that to accelerate the energy transition process and strengthen the adjustment and stability of the global energy system, the G20 is expected to reach and encourage developing and developed countries.

“Because this is an opportunity to build on the energy transition as an international momentum to a sustainable energy future. Through the G20, the Indonesian presidency can encourage and forge this global sustainable operation,” said Shinta, who is also the Deputy Chairperson of the Coordinator for Maritime Affairs, Investment, and Foreign Affairs of the Indonesian Chamber of Commerce and Industry.

In addition, Shinta conveyed that one of the efforts to encourage this was through financing, the role of the private sector, the government, and financial institutions in increasing and accelerating the implementation of a low-carbon energy system by perfecting policies and regulations to create a conducive moment for investing as Indonesia host the G20 presidential 2022.

“Indonesia has the opportunity to build a stronger international movement in the energy transition to a sustainable energy future. As a business community, B20 does not only create goals, but also progress and real benefits from Indonesia’s G20 presidency towards a better future,” said Shinta.

Deputy Chair of Taskforce ESC B20, Agung Wicaksono, said that B20, as an outreach group of the business community in G20 countries, must be a strong catalyst for green recovery with energy security and energy equality principles and environmental sustainability.

“The task force which Nicke Widyawati leads is currently preparing the final policy recommendation for a sustainable energy transition focusing on three priority issues,” he said.

Agung added that Taskforce ESC B20 carried out three priority issues.

The first is accelerating the transition to sustainable energy use by reducing the carbon intensity of energy use in several pathways, one of which is electric vehicles. Second, ensure regular and affordable transition adjustments to sustainable energy use in developing and developed countries. The third is to increase access and availability of consumers who consume clean and modern energy.

“The policy action focus and technology adoption by micro, small, and medium enterprises will bring the basis of the transition by overcoming the barriers to affordability in developing countries.”

For this reason, Agung hopes that he can share insights, develop conversations, and gather input from stakeholders in the government, business entities, the community, associations in the energy sector, and other related partners through this meeting.

“Hopefully, with this business cooperation, we can support the G20 leaders at the G20 Summit not only with appropriate and actionable policy recommendations but also create collaborative business action,” said Agung. •HM