Jakarta, INTI – Coordinating Minister for Maritime Affairs and Investment (Menko Marves), Luhut B. Pandjaitan, emphasized the importance of the strategic partnership between Indonesia and Singapore. This statement was made during the Memorandum of Understanding (MoU) Announcement on Cross Border Electricity Interconnection, part of the agenda on the first day of the International Sustainability Forum (ISF) 2024 on Thursday (5/9/2024).
“The Indonesia-Singapore partnership is highly strategic for both countries, and today’s agreement is a significant step forward in our joint commitment to a sustainable future,” said Menko Luhut in front of forum participants held in Jakarta.
According to Luhut, this agreement opens up substantial opportunities for both countries to strengthen their bilateral relations, especially in energy security and renewable energy development. Indonesia, with its immense potential in green energy production such as solar power and Battery Energy Storage Systems (BESS), will become a primary supplier for Singapore, which needs clean energy supplies.
“For Singapore, this partnership will ensure a clean electricity supply, supported by solar PV and BESS systems produced in Indonesia. Meanwhile, for Indonesia, this marks a significant shift in our energy export landscape. This clearly benefits both parties,” Luhut explained.
Transition Toward Renewable Energy
The energy partnership between Indonesia and Singapore also marks the beginning of a new era in the relationship between the two countries in the renewable energy sector. Menko Luhut explained that Indonesia would gradually transition from exporting fossil fuels to exporting renewable energy, an essential step in achieving sustainable development targets.
“We are in a critical phase of transition. This collaboration will accelerate the development of our green industry, especially in the production of solar PV and BESS. Additionally, this will create many green jobs for our people,” Luhut said.
Under this agreement, Indonesia is projected to produce and export solar panels and battery storage systems to help Singapore meet its energy needs in a more sustainable way. This project is also expected to have a positive economic impact on Indonesia, with investments flowing into the green energy sector.
Luhut’s Optimism for Future Cooperation
On this occasion, Menko Luhut also expressed his optimism for the continued cooperation with Singapore. He hopes that this agreement will serve as a foundation for other renewable energy projects in the future.
“I am confident that this project will proceed according to the procedures we have agreed upon. This is a significant milestone in our partnership, and I believe we will continue to strengthen this collaboration while remaining faithful to our original goals,” Luhut said.
Furthermore, Menko Luhut stated that the collaboration between Indonesia and Singapore in investment and partnership would continue to be encouraged to support sustainable economic growth.
“Indonesia is ready to be a good partner for Singapore. Yesterday, I had discussions with several Singaporean ministers, and we agreed to move forward together for the benefit of both nations,” Luhut added.
Through this renewable energy project, Indonesia has the potential not only to maximize its natural resources but also to solidify its position as a key player in the global renewable energy market. This step demonstrates Indonesia’s commitment to reducing carbon emissions and supporting the global climate change agenda.