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[POLITICS] · Indonesia · 2 sources

Indonesia's Energy Ministry Faces Criticism Over Coal Cuts and Power Outages

Commission XII member Yulian Gunhar criticized Energy Minister Bahlil Lahadalia for guaranteeing a safe national electricity supply while the state power utility PLN still needs an additional 18‑20 million tonnes of coal by 2026. Gunhar said the reduction of coal production quotas (RKAB) – cut by up to 70 % for some firms – threatens royalty revenue, state receipts, and could trigger large‑scale layoffs in the mining sector. He also questioned the lack of clear data on the policy’s benefits and highlighted new regulations requiring ministerial approval for coal blending, calling the overall governance of the sector weak.

Commission XII member Ateng Sutisna warned that recent rolling blackouts in Java underscore the need for both short‑term mitigation and a long‑term energy‑security strategy. He noted that contracts for coal supply to PLN are short by about 20 million tonnes against a 2026 demand of 154 million tonnes. Sutisna urged the Ministry of Energy and Mineral Resources and PLN to secure immediate supply, strengthen mid‑term coal contracts, and pursue diversification and reserves to ensure reliable electricity for the nation.