The Energy Policy Tracker has finished its first phase of tracking related to the Covid-19 recovery. Our dataset for 2020-2021 is complete. A new dataset on energy policies in the context of multiple crises will be launched in the coming year.

Indonesia

In 2020-2021, in response to the COVID 19 pandemic, Indonesia has committed at least USD 6.78 billion to supporting different energy types through new or amended policies, according to official government sources and other publicly available information. These public money commitments include:

  • At least USD 6.54 billion for unconditional fossil fuels through 5 policies (4 quantified and 1 unquantified)
  • No public money commitments identified for conditional fossil fuels
  • Some public money committed for unconditional clean energy (4 policies with the value of public money unquantified)
  • At least USD 240.02 million for conditional clean energy through 1 policy (1 quantified)
  • Some public money committed for other energy (5 policies with the value of public money unquantified)

By energy type, Indonesia committed at least USD 3.18 billion to oil and gas (at least USD 3.18 billion to unconditional oil and gas).

In addition, no public money commitments identified for coal.

Further, no public money commitments identified for hydrogen based on fossil fuels.

Finally, Indonesia committed at least USD 3.12 billion to multiple fossil fuels (at least USD 3.12 billion to unconditional multiple fossil fuels).

A considerably larger amount of public money committed to supporting the economy and people of Indonesia through monetary and fiscal policies in response to the crisis may also benefit different elements of the energy sector. However, these values are not available from official legislation and statements and therefore are not included in the database. Meanwhile, in addition to monetary and fiscal measures, the database lists other policies and regulations that can also provide benefits to producers and consumers of different energy types.

These public money commitments are additional to many other government policies that had existed to support different energy types before the COVID19 pandemic.

More information on key poverty and inequality indicators in Indonesia can be found on the Inequality and Poverty Dashboard page.

Updated: December 31st 2021


At least

$6.54 billion

Supporting fossil fuel energy

$24.16

Per capita



At least

$240.02 million

Supporting clean energy

$0.89

Per capita

Indonesia

In 2020-2021, in response to the COVID 19 pandemic, Indonesia has committed at least USD 6.78 billion to supporting different energy types through new or amended policies, according to official government sources and other publicly available information. These public money commitments include:

  • At least USD 6.54 billion for unconditional fossil fuels through 5 policies (4 quantified and 1 unquantified)
  • No public money commitments identified for conditional fossil fuels
  • Some public money committed for unconditional clean energy (4 policies with the value of public money unquantified)
  • At least USD 240.02 million for conditional clean energy through 1 policy (1 quantified)
  • Some public money committed for other energy (5 policies with the value of public money unquantified)

By energy type, Indonesia committed at least USD 3.18 billion to oil and gas (at least USD 3.18 billion to unconditional oil and gas).

In addition, no public money commitments identified for coal.

Further, no public money commitments identified for hydrogen based on fossil fuels.

Finally, Indonesia committed at least USD 3.12 billion to multiple fossil fuels (at least USD 3.12 billion to unconditional multiple fossil fuels).

A considerably larger amount of public money committed to supporting the economy and people of Indonesia through monetary and fiscal policies in response to the crisis may also benefit different elements of the energy sector. However, these values are not available from official legislation and statements and therefore are not included in the database. Meanwhile, in addition to monetary and fiscal measures, the database lists other policies and regulations that can also provide benefits to producers and consumers of different energy types.

These public money commitments are additional to many other government policies that had existed to support different energy types before the COVID19 pandemic.

More information on key poverty and inequality indicators in Indonesia can be found on the Inequality and Poverty Dashboard page.

$ %

Public money commitments to fossil fuels, clean and other energy in Indonesia recovery packages, USD billion, in 2020-2021

Country Jurisdiction Category Policy name Sector Energy Type Mechanism Value committed, USD Date of announcement Stage Legislation and Endorsing Agency Arm of Government Primary and secondary stated objective of the policy Date of entry into force Implemented repeal date, if any Value committed, national currency Value disbursed, national currency Value disbursed, USD: Policy background Links to official sources Links to additional sources
Indonesia National Clean conditional Economic Recovery Program: Bailout for PT Kereta Api Indonesia (Railway SOE) Mobility Multiple energy types Budget or off-budget transfer ... 240018603.49907 2020051111/05/2020 Energy use (all energy types, consumption in transport, household use, buildings etc) President Regulation (Act class) / Ministry of Finance Government To avoid SOEs from going bankrupt. Interpretation of Indonesian SOE Act implies that SOEs are not allowed to be bankrupt 11/05/2020 3500000000000 The Government prepared 3 programs with total funds of IDR 152.15 trillion The injection funds will be divided into three scenarios, namely in the form of state capital participation (PMN) worth IDR 25.27 trillion, compensation payment of IDR 94.23 trillion, and investment bailout IDR 32.65 trillion. This last scheme will be enjoyed by Garuda Indonesia (Airline SOE), KRAS, Bulog, KAI(Train SOE), PTPN, and Perumnas. PLN (electricity SOE) is set to receive IDR 45.5 trillion in compensation payment and participation of state capital
The Government prepared 3 programs with total funds of IDR 152.15 trillion The injection funds will be divided into three scenarios, namely in the form of state capital participation (PMN) worth IDR 25.27 trillion, compensation payment of IDR 94.23 trillion, and investment bailout IDR 32.65 trillion. This last scheme will be enjoyed by Garuda Indonesia (Airline SOE), KRAS, Bulog, KAI(Train SOE), PTPN, and Perumnas. PLN (electricity SOE) is set to receive IDR 45.5 trillion in compensation payment and participation of state capital

https://market.bisnis.com/read/20200603/192/1247941/pemerintah-beri-insentif-rp5257-triliun-bagi-12-bumn-ini-daftarnya Accessed 21 June 2020
Indonesia National Fossil unconditional Economic Recovery Program: Compensation Payment for PT Pertamina (Oil & Gas SOE) Resources Oil and gas Budget or off-budget transfer ... 2594258220.1057 2020051111/05/2020 Exploration or production or processing or storage or transportation President Regulation (Act class) / Ministry of Finance Government To avoid SOEs from going bankrupt. Interpretation of Indonesian SOE Act implies that SOEs are not allowed to be bankrupt 11/05/2020 37830000000000 The Government prepared 3 programs with total funds of IDR 152.15 trillion The injection funds will be divided into three scenarios, namely in the form of state capital participation (PMN) worth IDR 25.27 trillion, compensation payment of IDR 94.23 trillion, and investment bailout IDR 32.65 trillion. This last scheme will be enjoyed by Garuda Indonesia (Airline SOE), KRAS, Bulog, KAI(Train SOE), PTPN, and Perumnas. PLN (electricity SOE) is set to receive IDR 45.5 trillion in compensation payment and participation of state capital

https://peraturan.bpk.go.id/Home/Details/136615/pp-no-23-tahun-2020 Accessed 21 June 2020

https://www.indopremier.com/ipotnews/newsDetail.php?jdl=12+BUMN+Raih+Insentif+Fiskal%3A+GIAA+Terima+Rp8%2C5+Triliun%2C+KRAS+Rp3+Triliun&news_id=119490&group_news=IPOTNEWS Accessed 21 June 2020
Indonesia National Fossil unconditional Economic Recovery Program: Bailout for Garuda Indonesia (Airline SOE) Mobility Oil and oil products Budget or off-budget transfer ... 582902322.78346 2020051111/05/2020 Energy use (all energy types, consumption in transport, household use, buildings etc) President Regulation (Act class) / Ministry of Finance Government To avoid SOEs from going bankrupt. Interpretation of Indonesian SOE Act implies that SOEs are not allowed to be bankrupt 11/05/2020 8500000000000 The Government prepared 3 programs with total funds of IDR 152.15 trillion The injection funds will be divided into three scenarios, namely in the form of state capital participation (PMN) worth IDR 25.27 trillion, compensation payment of IDR 94.23 trillion, and investment bailout IDR 32.65 trillion. This last scheme will be enjoyed by Garuda Indonesia (Airline SOE), KRAS, Bulog, KAI(Train SOE), PTPN, and Perumnas. PLN (electricity SOE) is set to receive IDR 45.5 trillion in compensation payment and participation of state capital

https://peraturan.bpk.go.id/Home/Details/136615/pp-no-23-tahun-2020 Accessed 21 June 2020

https://www.indopremier.com/ipotnews/newsDetail.php?jdl=12+BUMN+Raih+Insentif+Fiskal%3A+GIAA+Terima+Rp8%2C5+Triliun%2C+KRAS+Rp3+Triliun&news_id=119490&group_news=IPOTNEWS Accessed 21 June 2020
Indonesia National Fossil unconditional Economic Recovery Program:Compensation Payment to PLN Power generation Multiple fossil Budget or off-budget transfer ... 3120241845.488 2020051111/05/2020 Several energy stages President Regulation (Act class) / Ministry of Finance Government To avoid SOEs from going bankrupt. Interpretation of Indonesian SOE Act implies that SOEs are not allowed to be bankrupt 11/05/2020 45500000000000 The Government prepared 3 programs with total funds of IDR 152.15 trillion The injection funds will be divided into three scenarios, namely in the form of state capital participation (PMN) worth IDR 25.27 trillion, compensation payment of IDR 94.23 trillion, and investment bailout IDR 32.65 trillion. This last scheme will be enjoyed by Garuda Indonesia (Airline SOE), KRAS, Bulog, KAI(Train SOE), PTPN, and Perumnas. PLN (electricity SOE) is set to receive IDR 45.5 trillion in compensation payment and participation of state capital

https://peraturan.bpk.go.id/Home/Details/136615/pp-no-23-tahun-2020 Accessed 21 June 2020
Indonesia National Clean unconditional Solar energy program as part of post Covid-19 recovery Power generation Solar Budget or off-budget transfer ... 2020051919/05/2020 Electricity generation Ministry of Energy Government 19/05/2020 The plan is to subsidize rooftop solar plant installations in households. More details will follow.

https://www.medcom.id/ekonomi/bisnis/ObzMPE9N-pemerintah-siapkan-program-listrik-surya-nusantara Accessed 20 May 2020
Indonesia National Clean unconditional Suspension and elimination of Value Added Tax (VAT) and Income Tax for various RE Projects Power generation Multiple renewable Tax or royalty or govt fee bre... 2020042222/04/2020 Electricity generation Ministry of Energy Government 22/04/2020 MEMR has identified the impact of COVID19-19 by issuing a number of policies to counter these negative effects. They are now focusing on a number of incentives and concessions on the renewable energy business in the COVID-19 affected areas.

https://www.esdm.go.id/id/media-center/arsip-berita/petakan-dampak-covid-19-di-bisnis-ebt-pemerintah-prioritaskan-proyek-padat-karya Accessed 19 May 2020
Indonesia National Other energy Subsidies for the utilization of biodiesel-type biofuel Other sector Biofuels and waste Budget or off-budget transfer ... 2020042222/04/2020 Energy use (all energy types, consumption in transport, household use, buildings etc) Ministry of Energy Government 22/04/2020 MEMR has identified the impact of COVID-19 by issuing a number of policies to counter these negative effects. They are now focusing on a number of incentives and concessions on the renewable energy business in the COVID-19 affected areas.

https://www.esdm.go.id/id/media-center/arsip-berita/petakan-dampak-covid-19-di-bisnis-ebt-pemerintah-prioritaskan-proyek-padat-karya Accessed 19 May 2020
Indonesia National Clean unconditional Relaxation of Commercial Operation Date (COD) and the elimination of financial penalties to adjust t... Power generation Multiple renewable Other hybrid support measures 2020042222/04/2020 Electricity generation Ministry of Energy Government 22/04/2020 MEMR has identified the impact of COVID-19 by issuing a number of policies to counter these negative effects. They are now focusing on a number of incentives and concessions on the renewable energy business in the COVID-19 affected areas. This policy will be focused on accelerating the labour-intensive and decentralized RE projects, such as rooftop PV in government offices and cold storage, and off-grid micro-hydro and solar PV projects.

https://www.esdm.go.id/id/media-center/arsip-berita/petakan-dampak-covid-19-di-bisnis-ebt-pemerintah-prioritaskan-proyek-padat-karya Accessed 19 May 2020
Indonesia National Clean unconditional Suspension of loan installments and lowering interest rates for Renewable Energy projects. Power generation Multiple renewable Uncategorized 2020042222/04/2020 Electricity generation Ministry of Energy Government 22/04/2020 Ministry of Energy and Mineral Resources has identified the impact of COVID-19 by issuing a number of policies to counter these negative effects. They are now focusing on a number of incentives and concessions on the renewable energy business in the Covid-19 affected areas.

https://www.esdm.go.id/id/media-center/arsip-berita/petakan-dampak-covid-19-di-bisnis-ebt-pemerintah-prioritaskan-proyek-padat-karya Accessed 19 May 2020
Indonesia National Fossil unconditional Industrial gas price reduction USD 0.06 / MMBTU Resources Gas and gas products Underpricing of govt-owned goo... 2020012424/01/2020 Energy use (all energy types, consumption in transport, household use, buildings etc) Ministry of Energy Government 24/01/2020

https://jdih.esdm.go.id/storage/document/PERMEN%20ESDM%20No%208%20Tahun%202020_SALINAN.pdf Accessed 29 April 2020
Indonesia National Fossil unconditional 3 months electricity bill exemption for residential 450 VA customers and 50% discount for residentia... Other sector Multiple energy types Budget or off-budget transfer ... 240018603.49907 2020040505/04/2020 Energy use (all energy types, consumption in transport, household use, buildings etc) President Regulation (Act class) Ministry of Finance, Ministry of Energy, and PLN Government 05/04/2020 05/07/2022 3500000000000 The facility is given to Indonesian poor since the electricity subsidy database matches the poverty database. This measure as classified as "fossil unconditional" because most of Indonesia's electricity comes from fossil fuels.

https://www.cnbcindonesia.com/news/20200405125902-4-149854/mau-bebas-tagihan-pln-3-bulan-caranya-bisa-lewat-whatsapp Accessed 29 April 2020
Indonesia National Other energy Tax relaxation on international trade in relation to COVID19 & Crisis that can harm national ec... Multiple sectors Multiple energy types Tax or royalty or govt fee bre... 2020033131/03/2020 Several energy stages President Regulation (Act class) / Ministry of Finance Government 31/03/2020 New customs facilities which give the authority to the Minister of Finance to provide customs facilities other than those stipulated in Article 25 paragraph 1 of the Customs Law.

https://www.pajak.go.id/sites/default/files/2020-04/Perpu%20Nomor%201%20Tahun%202020.pdf Accessed 29 April 2020

https://nasional.kontan.co.id/news/ini-5-insentif-dan-stimulus-perpajakan-yang-disiapkan-pemerintah-hadapi-covid-19?page=all Accessed 29 April 2020
Indonesia National Other energy Exemption of VAT and Income Tax Multiple sectors Multiple energy types Tax or royalty or govt fee bre... 2020033131/03/2020 Several energy stages President Regulation (Act class) / Ministry of Finance Government 31/03/2020 VAT exemptions for items needed in handling the Covid-19 outbreak such as drugs, vaccines, laboratory equipment, detection equipment, PPE, equipment for patient care, and other supporting equipment. Whereas in the service sector, the government also provides VAT exemptions for services needed in handling the Covid-19 outbreak such as construction services, consulting services, engineering, and management, rental services, and other supporting services.

https://www.pajak.go.id/sites/default/files/2020-04/Perpu%20Nomor%201%20Tahun%202020.pdf Accessed 29 April 2020

https://nasional.kontan.co.id/news/ini-5-insentif-dan-stimulus-perpajakan-yang-disiapkan-pemerintah-hadapi-covid-19?page=all Accessed 29 April 2020
Indonesia National Other energy Deferral of Tax Payment (max. 6 months) Multiple sectors Multiple energy types Tax or royalty or govt fee bre... 2020033131/03/2020 Several energy stages President Regulation (Act class) / Ministry of Finance Government 31/03/2020 Extension of the application period or completion of tax administration. In this case, the extension of the period of submission of objections by taxpayers is extended to a maximum of 6 months from 3 months to nine months. The extension of the settlement period by the Directorate General of Tax (DGT) is also extended to a maximum of six months for requests for restitution through examination and objection requests from 12 months to 18 months. Furthermore, requests for reduction or elimination of administrative sanctions from 6 months to 12 months.

https://www.pajak.go.id/sites/default/files/2020-04/Perpu%20Nomor%201%20Tahun%202020.pdf Accessed 29 April 2020

https://nasional.kontan.co.id/news/ini-5-insentif-dan-stimulus-perpajakan-yang-disiapkan-pemerintah-hadapi-covid-19?page=all Accessed 29 April 2020
Indonesia National Other energy Discount on Corporate Income Tax for Public Company (3% discount) Multiple sectors Multiple energy types Tax or royalty or govt fee bre... 2020033131/03/2020 Several energy stages President Regulation (Act class) / Ministry of Finance Government 31/03/2020 A reduction in the corporate income tax (PPh) from 25% to 22% for the 2020-2021 tax year. Followed by another reduction to 20% for the tax year 2021 There is an additional 3% discount for companies classified as issuers (40% public shares), so that the issuer's Corporate Income Tax becomes 19% in the tax year 2020-2021, and in 2022 it becomes 17%.

https://www.pajak.go.id/sites/default/files/2020-04/Perpu%20Nomor%201%20Tahun%202020.pdf Accessed 29 April 2020

https://nasional.kontan.co.id/news/ini-5-insentif-dan-stimulus-perpajakan-yang-disiapkan-pemerintah-hadapi-covid-19?page=all Accessed 29 April 2020