Kadin Chairman: Energy Transition Is Not Just About Climate Change, but Also the Economy and Industry

Anindya Novyan Bakrie, Chairman of the Indonesian Chamber of Commerce and Industry (Kadin), believes that the energy transition is no longer merely a climate change agenda. It has become an important part of Indonesia’s economic competitiveness, energy security, and industrial strategy.

“Energy transition is increasingly becoming an agenda for economic competitiveness, energy security, and industrial strategy, and this is extremely important for Indonesia,” Anin said in a written statement quoted on Wednesday, October 7, 2026.

He stated that investment opportunities in the energy transition sector remain open amid geopolitical uncertainty, changing trade patterns, and growing attention to energy security. Global investment in the energy transition even reached a record US$2.3 trillion in 2025, with Asia-Pacific accounting for nearly half of total global investment.

For Indonesia, Anin continued, these opportunities are also considered significant. According to a BloombergNEF study, Indonesia’s pathway to net zero is estimated to create investment opportunities worth up to US$3.8 trillion by 2050.

He said Indonesia has strong advantages to capitalize on these opportunities, ranging from its abundance of critical minerals and substantial renewable energy potential to its large domestic market and the development of the electric vehicle, battery, biofuel, and geothermal industries.

“These factors provide a strong foundation for Indonesia to increase added value and develop higher-value industries with lower carbon emissions domestically,” he said.

He also outlined three key priorities that Indonesia needs to strengthen in advancing the energy transition.

First, the energy transition must strengthen national economic competitiveness and energy security. It should deliver reliable, affordable, and increasingly low-carbon energy to strengthen industries, attract investment, and create jobs.

Second, Indonesia needs to capture more value from the clean energy economy. According to Anindya, Indonesia must move beyond being merely a supplier of raw materials and toward green industrialization by strengthening its processing, manufacturing, technology, and clean energy industry capabilities.

Third, efforts are needed to narrow the gap between available capital and projects that are ready for financing. This can be achieved through greater regulatory certainty, credible projects, stronger infrastructure, and financing mechanisms that make sustainable investments viable on a large scale.

“This is where collaboration between the government and the private sector becomes extremely important,” Anin said.

Furthermore, he emphasized that Kadin Indonesia continues to promote the spirit of Indonesia Incorporated, bringing together the government, state-owned enterprises (SOEs), private companies, investors, financial institutions, and international partners to work together in supporting national development goals.

“Kadin stands ready to help bridge these various stakeholders, bring business-sector experience into the policymaking process, help Indonesian companies navigate the transition, and ensure that the opportunities are not enjoyed only by large corporations, but also by micro, small, and medium-sized enterprises (MSMEs) and businesses across different regions,” Anin said.

He believes Indonesia does not lack opportunities, ambition, or capital to develop a low-carbon economy. The challenge lies in bringing all three together to generate tangible projects and economic value for Indonesia.

“If we can achieve this, the energy transition can become much more than just a climate agenda for Indonesia. It can strengthen energy security, deepen industrial capabilities, and create new sources of growth for Indonesia in the coming decades,” he concluded.