Indonesia faces an enormous challenge to ensure affordable electricity generation continues to power economic development, while simultaneously reducing its carbon emissions to achieve its unconditional 29% emissions reduction target by 2030 under the Paris Agreement.
There is no simple answer to reconcile these two competing objectives, but a cost-effective interim solution may be co-firing coal with biomass feedstock. One of the world's largest coal producers and exporters, coal accounts for around 60% of Indonesia's power generation capacity, with its low cost guaranteeing that it will remain the country's preferred fuel choice to meet ever-increasing power demand, as well as creating barriers to entry for renewable energy developments.
Winifred Lu (White & Case, Graduate, Melbourne) co-authored this publication.
This content was first published on Nikkei Asia. To read the full article, please visit https://asia.nikkei.com/Opinion/Biomass-offers-Indonesia-a-way-out-of-its-net-zero-emissions-dilemma
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