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Indonesia to maintain coal use amid energy security concerns

Jakarta (ANTARA) – Indonesia will continue to rely on coal‑fired power plants (PLTU) to ensure energy efficiency and keep electricity prices affordable, Energy and Mineral Resources Minister Bahlil Lahadalia said on Saturday.Speaking at an event organized by the IPB Alumni Association in Jakarta, Bahlil noted that Indonesia’s large coal reserves make the resource essential, particularly amid global energy disruptions linked to rising tensions in the Middle East. He argued that Indonesia cannot abruptly abandon coal, pointing out that several developed countries—including the United States and parts of Europe—are returning to coal to safeguard domestic energy security. “Now America is considering coal as an option. Europe too, with some countries asking us to supply 20 million tons per year,” he said. Bahlil emphasized that efficiency and national interests must guide Indonesia’s energy transition. “I have decided, let’s go with coal. This is survival mode. We are talking about efficiency, and we must not burden our people with high electricity prices,” he stated. According to ministry data, Indonesia’s coal production in 2025 reached 790 million tons—a 5.5 percent decline from the 2024 target of 836 million tons, but still above this year’s target of 739.6 million tons. Of the total, 514 million tons (65.1 percent) were allocated for exports, while domestic market obligations (DMO) for electricity and non‑electricity sectors accounted for 254 million tons (32 percent). The remaining 22 million tons (2.8 percent) were reserved as stockpiles.