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Indonesia – UK Launches The MENTARI Energy Efficiency Program

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Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif together with British Ambassador to Indonesia and Timor Leste Owen Jenkins and Director General of New, Renewable Energy and Energy Conservation (EBTKE) Dadan Kusdiana officially launched the MENTARI Energy Efficiency Program (MENTARI EE). The MENTARI EE program aims to support the achievement of Indonesia’s target of reducing greenhouse gas emissions in the energy efficiency sub-sector.

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“We very much welcome the MENTARI Program. Thank you, Mr. Owen Jenkins, who continues to actively encourage energy efficiency programs throughout the country, not only in forums like this but in the regions, he has also started carrying out activities installation such as PLTS some time ago was carried out in Sumba, East Nusa Tenggara,” Arifin said shortly before inaugurating the MENTARI EE Program in Jakarta, Monday (28/11) morning.

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Arifin added, this program is a joint follow-up between the Government of Indonesia and the Government of the United Kingdom in the UK Partnering for Accelerated Climate Transition Program. Greenhouse gas reduction program through efficiency programs in the building sector.

The Government of Indonesia appreciates the support of the UK Government through this energy efficiency program because energy efficiency efforts are an important and significant step towards achieving the Net Zero Emissions target. In the building sector, the Ministry of Energy and Mineral Resources has sent circulars to Central and Regional Government Agencies to implement energy conservation efforts.

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“Energy efficiency is very important considering the recent energy crisis, whose impact has been felt not only in Indonesia but also throughout the world,” said Arifin.

This MENTARI EE implementation agreement is part of a number of agreements signed in November to deepen cooperation between Indonesia and the UK. Some time ago at the G20 Heads of State Conference on November 15 in Bali, a funding agreement was also announced for the Indonesia Just Energy Transition Partnership. The UK Government is supporting the initiative with funding of a total of USD 1 billion which will be channeled through a World Bank loan as well as through an agreement between the MENTARI program and PT Sarana Multi Infrastruktur in the form of a co-investment scheme for renewable energy projects.

MENTARI EE is expanding the MENTARI partnership that has been running since 2020 and has successfully completed several projects such as the electrification of two villages in Sumba with solar panels and a battery-based electricity network system. The UK government is committed to funding MENTARI EE activities with the support of a sum of GBP 2.7 million from UK Partnering for Accelerated Climate Transitions (UK PACT).

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“The British Government welcomes the opportunity to strengthen partnerships with the Government of Indonesia to support Indonesia’s efforts to accelerate the implementation of energy efficiency. As well as being able to support Indonesia’s ambitious target of reducing greenhouse gas emissions, this effort can also reduce costs incurred by consumers for energy consumption. The initiative “This new program enriches the collaboration between the two countries in the energy sector which has started through the UK-Indonesia Partnership for MENTARI Low Carbon Energy. This program is also in line with the UK Government’s involvement in the Indonesia Just Energy Transition Partnership which was just launched at the G20 meeting, ” said the Ambassador English for Indonesia and Timor Leste, Owen Jenkins.

MENTARI EE’s support consists of three projects that work together to complement other support initiatives in developing policy recommendations, support for the preparation of energy efficiency pilot projects in the building sector, development of financial incentives, and support for strengthening coordination between stakeholders. The three MENTARI EE projects will be implemented by the Institute for Natural Resources, Energy and Environmental Management (IREEM), Carbon Trust Singapore Pte Ltd, and Ecoxyztem Venture Builder.

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The three projects that will be carried out in this partnership are:

1. The Integrated Energy Efficiency Programme for the Decarbonisation of Indonesia’s Building Sector (INTENS). Project lead: Institute for Natural Resources, Energy and Environmental Management (IREEM)

2. De-risking energy efficiency in Indonesia: a pilot project for guarantees. Project lead: Carbon Trust Singapore Pte Ltd dan

3. Creating an energy efficiency ecosystem through a multi-stakeholder partnership approach in Indonesia. Project lead: Ecoxyztem Venture Builder. (SF)

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