A review of Indonesia's JETP through the dynamics of its policy regime

Abstract

During its 2022 G20 presidency, Indonesia committed to reducing carbon emissions through the Indonesia Just Energy Transition Partnership (JETP). In addition to other policies, the Partnership is designed to drive the country's broader energy transition and net-zero aspirations for decades to come. In addition to technical challenges, the Partnership is expected to face social and political resistance. Considering its importance for Indonesia's sustainable development and gaining support from influential stakeholders, this paper examines the JETP through the lens of a policy regime framework, drawing on insights from the country's multi-decade fossil fuel subsidy reforms (FFSR) – a comparable effort to drive significant changes in energy use. It highlights the critical role of navigating political, social, and regulatory realities that have contributed to the successes or failures of policy reforms. The policy appraisal suggests the need for significant reconsideration of its broader policy-regime context, specifically political, social, and regulatory factors, to ensure the successful implementation of the JETP and Indonesia's energy transition in general. Furthermore, the paper offers relevant policy recommendations to assist advocates and administrations supporting the Partnership in broadening its appeal beyond environmental concerns to secure stronger social and political backing.