Jakarta, INTI – Coordinating Minister for Maritime Affairs and Investment, Luhut B. Pandjaitan, praised the strong ties between Indonesia and Singapore in the rapidly evolving renewable energy sector. Speaking at the signing of the Memorandum of Understanding (MoU) on Cross Border Electricity Interconnection during the International Sustainability Forum 2024 (ISF 2024), Luhut emphasized that this strategic collaboration not only benefits both countries but also strengthens Indonesia’s global position as a major player in clean energy.
“This partnership is highly strategic for both nations, and today’s agreement is a crucial step in our shared commitment to creating a greener and more sustainable future,” Luhut said in Jakarta on Thursday (5/9).
The agreement, announced on the first day of ISF 2024, focuses on cross-border electricity interconnection, allowing the export of clean electricity from Indonesia to Singapore. Luhut explained that this partnership would provide significant advantages for both nations, with Indonesia producing renewable energy while Singapore receives a more environmentally friendly energy supply.
“This cooperation is a win-win solution. For Singapore, it ensures a clean electricity supply. For Indonesia, it represents a major shift in how we view energy exports. We are no longer just exporting fossil fuels, but also clean energy generated from solar PV and BESS,” Luhut added.
Promoting Green Industry and Job Creation
Menko Luhut stressed that this collaboration would also positively impact the growth of Indonesia’s green industry. With the production of solar PV and battery storage systems, Indonesia will create more green jobs, which are essential for driving long-term economic growth.
“This is a critical step in our transition to a green economy. Projects like this will significantly benefit our people by creating green jobs while strengthening our energy security,” he explained.
Additionally, Luhut revealed that the Indonesian government has prepared various policies and incentives to attract more foreign investment in the renewable energy sector. He also mentioned that Indonesia has the potential to become a hub for green energy production in Southeast Asia, with support from various countries and international institutions.
Collaboration for a Sustainable Future
Luhut added that the strong relationship with Singapore demonstrates that international collaboration can accelerate the transition to renewable energy. He hopes this partnership can serve as an example for other countries in the region looking to develop cleaner and more efficient energy systems.
“With this strong collaboration, we can achieve much more in terms of green energy development. This is not just about economic benefits but also about protecting our environment and providing a better future for the next generation,” he emphasized.
In conclusion, Menko Luhut underscored the importance of continued collaboration between Indonesia and Singapore across various sectors, particularly energy, to achieve shared goals in sustainable development.
“We must continue to foster trust and cooperation to ensure that these projects proceed smoothly and deliver maximum benefits for both nations,” Luhut said.
With this new agreement, Indonesia is further strengthening its position as Singapore’s strategic partner in creating a greener and more sustainable energy future.