Access to renewable energy helps reduce greenhouse gas emissions by decreasing dependence on fossil fuels, particularly coal plants and diesel generators. While the renewable energy sector offers an attractive investment opportunity, there are barriers to investment.
Through our offices in India and Indonesia, we have significantly influenced government policy related to renewable energy. Our team in India works with the Ministry of New and Renewable Energy, the Ministry of Finance, and other policymaker to increase investment to India’s renewable energy targets. We do this through a three-pillar approach: first, understand potential investors and the barriers they face; second, explore policy solutions to these barriers; and third, develop financial instrument solutions to these barriers.
Power Foundation of India is organizing a full-day conference in collaboration with Climate Policy Initiative at The Ashok Hotel, Chanakyapuri, New Delhi. The conference intends to enhance awareness regarding the advantages of Distributed Renewable Energy (DRE) projects in India’s energy transition and sustainable development. Emphasizing their relevance to net zero targets, the event will foster knowledge exchange.
Indonesia’s JETP launched its Comprehensive Investment and Policy Plan (CIPP) on 21 November 2023. As CPI was heavily involved in the process, supporting both the JETP Secretariat’s overall editorial process and the Finance Working Group’s specific input to the CIPP, we are sharing key highlights from the document.
Our latest tracking of Indonesia power sector finance examines renewable energy capacity and financing gaps, as well as opportunities to better align the country’s power sector finance with its NZE 2060 commitment.
A credit guarantee facility could help address cost-of-capital issues for renewable energy, allowing countries with high solar potential to significantly increase their installed capacity.
As cost-competitive clean energy sources grow and India commits to global decarbonization, Indian PSEs’ carbon-intensive businesses are likely to face challenges, potentially resulting in losses for the Indian state.
As Indonesia took up the mantle of G20 presidency, 2022 was a particularly momentous year filled with opportunities to examine the country’s climate finance landscape, improve the underpinning regulatory framework, and foster greater global cooperation on ensuring just energy transitions. Here is a reflection of progresses we have achieved in both sustainable finance and energy transition areas last year and a preview of what is underway for 2023.