Indonesia's Path to Net Zero CO2 Includes a Nuclear Plant and Banning ICE Cars

(Bloomberg) -- Indonesia’s path toward using entirely renewable energy sources by 2060 includes banning the sales of fossil-fuel vehicles and operating a nuclear power plant.

While the world’s top exporter of thermal coal has pledged to cut emissions by 29% within 10 years, President Joko Widodo’s administration remains wary of the economic trade-offs. His government pushed through a carbon tax amid criticism that the levy at 30,000 rupiah ($2.11) per metric ton of carbon dioxide equivalent, among the world’s lowest, won’t be enough to curb emissions.

Indonesia Cuts Carbon Tax as Global Energy Crisis Drives Caution

Here’s how Indonesia plans to reach net zero emissions:

• 2022: Government passes law on renewable energy
• 2025: Renewable sources to account for 23% of energy use, with everyone having access to electricity
• 2027: All imports of liquefied petroleum gas is stopped
• 2030: Renewable energy, mostly solar, to account for 42% of use
• 2031: Government starts retiring coal-powered power plants
• 2035: Renewable sources, including solar, geothermal and hydro-powered plants, to account for 57% of energy use
• 2040: All sales of fossil-fuel motorcycles is stopped
• 2045: First nuclear power plant to start operating
• 2050: All sales of fossil fuel cars is stopped
• 2055: The last coal-powered power plants is retired
• 2060: Renewable sources to account for 100% energy use

©2021 Bloomberg L.P.