ILO supports Indonesia to move from fossil fuel to renewable energy

Indonesia is one of the largest producer and exporter of coal in the world. Recognizing that the use of fossil fuel as a source of energy significantly contributes to green gas emissions and climate change, Indonesia has committed itself in achieving Net Zero Emission by 2060 within the energy sector.

Upskilling and reskilling are important and needed by workers to transform into renewable sector or other potential economic sectors. Thus, vocational training centres play a great role in realizing the skills transformation."

Yoyon Artino, an instructor in one of the vocational training centres in South Sumatra

To support the commitment of Indonesia to reduce greenhouse gases, the German government has funded a Just Energy Transition project in Indonesia called the IKI JET project. Implemented by the ILO, the project aims to build the capacity of different government offices at both national and regional levels on just energy transition through training programmes and workshops.

To date, the project has conducted a series of trainings in three provinces—Yogyakarta, South Sumatra and East Kalimantan, reaching out to a total of 62 government officials. Conducted from January to February 2024 with support from the ILO’s International Training Centre (ITC) Turin, the training programmes involved all relevant stakeholders representing governmental ministries, workers’ and employers’ organizations, civil society organizations and research centres as well as the IKI JET consortiums.

During the training, the participants learnt that the just energy transition helped the promotion of the economic transformation that would spur new emerging economic sectors. They also learnt how to contribute to the new challenges brought by the just transition on the development of competent human capital for these new sectors.

Yoyon Artino, an instructor in one of the vocational training centres in South Sumatra, stated that the training programme had opened his insight on how his institution could contribute to just transition in his province. “Upskilling and reskilling are important and needed by workers to transform into renewable sector or other potential economic sectors. Thus, vocational training centres play a great role in realizing the skills transformation,” he said.

The ILO supports its social partners in Indonesia to strengthen the capacity of relevant stakeholders, establish a regional consultation forum and encourage policy formulation and planning for an economic transformation."

Muce Mochtar, ILO’s Project Officer on Just Energy Transition

Meanwhile Agus Taswanto from the Provincial Planning and Development Agency (Bappeda) of East Kalimantan said that Bappeda plays a very instrumental role in the Just Energy Transition for East Kalimantan, particularly in planning the economic transformation. “I learnt different elements that just transition entails, which is not only the environmental aspects. We also need to look at other aspects, such as gender, labour rights, social security, skills development, social dialogue and financing.”

The training programmes concluded with the commitment from the participants to provide a practical orientation to the government ministries and other social partners with some specific options on how to formulate, implement and monitor the policy framework, in accordance with national circumstances and priorities.

“The ILO through this Just Transition Project will continue supporting Indonesia to move from coal to renewable energy and other sustainable economic activities. The ILO supports its social partners in Indonesia to strengthen the capacity of relevant stakeholders, establish a regional consultation forum and encourage policy formulation and planning for an economic transformation,” concluded Muce Mochtar, ILO’s Project Officer on Just Energy Transition.