Presidential Regulation 5/2006 concerning National Energy Policy

Laws and Policies

CCLW

CCLW national policies

Law passed

The goal of the National Energy Policy is to direct efforts to the creation of sufficiency of domestic energy supply. It aims to optimise the energy mix in Indonesia; reducing the dependency on fossil fuels and increasing the use of renewables. It set out a comprehensive series of targets:<br />
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By 2005 the policy aimed to achieve energy elasticity of less than one (energy elasticity in this case is the ratio of between energy demand and economic growth). It sets out the creation of optimal energy mix by 2020, achieving the following proportions in the energy mix: Oil less than 20%; gas than 30%; Coal less than 33%; Biofuel more than 5%; Geothermal more than 5%; Other new energy and renewable energy, particularly biomass, nuclear, hydropower, solar power, and wind power more than 5%; liquefied coal more than 2%.