Energy Self-Sufficiency for True Independence
Energy self-sufficiency is crucial for a nation’s sovereignty. Indonesia faces the challenge of ensuring an independent and sustainable energy supply in today's dynamic and complex global landscape. This issue is particularly relevant as we commemorate the 80th Independence Day of the Republic of Indonesia, where independence encompasses freedom from colonialism and the ability to meet energy needs without relying on imports.
Currently, more than 50% of Indonesia’s energy needs depend on imports, including crude oil and refined fuels. This dependency leaves the nation vulnerable to various external risks, such as global oil price fluctuations, disruptions in supply chains, and geopolitical tensions that could directly impact domestic energy availability. If this reliance on imports continues, national energy security could be at serious risk.
To safeguard national energy resilience, immediate action is necessary. Strengthening domestic oil and gas production through exploration to discover new reserves, in addition to developing existing resources, is essential for maintaining energy supply and reducing dependence on imports.
Boosting domestic oil and gas production is not just an aspiration. Data indicates that Indonesia possesses vast potential in these sectors. Of the 128 oil and gas basins in the country, only about 16% have been explored, highlighting significant opportunities for growth that can increase national energy reserves and contribute to the strategy of achieving energy self-sufficiency.
At the same time, Indonesia must commit to transitioning toward low-carbon energy sources, specifically new and renewable energy (NRE). It is important to consider that this energy transition requires time, significant investment, and adequate supporting infrastructure. The development of NRE currently faces challenges such as intermittent supply, limited technology, and project economics that have yet to be fully competitive in the energy market. The oil and gas sector, too, underwent a long process before reaching its current level of maturity.
During the transition period toward NRE, oil and gas will remain vital as the backbone of the national energy system. We should view oil and gas and NRE not as mutually exclusive but as complementary options. Oil and gas provide short- to medium-term stability and reliability, while NRE serves as the foundation for a long-term sustainable energy system. Indonesia must be pursuing both in parallel, integrated into a national energy policy that is adaptive and forward-looking.
For this reason, all stakeholders must collaborate on strategic actions in the oil and gas sector to enhance domestic production, including the opening of new working areas, accelerating exploration, and developing potential in frontier regions. Concurrently, there must be regulatory improvements, legal certainty, and a competitive investment climate to attract investors in both conventional and renewable energy sectors.
Energy resilience is not just about meeting demand; it is a strategic national asset that supports economic growth, maintains social stability, and enables inclusive development across Indonesia. Achieving energy self-sufficiency will bring Indonesia closer to actual progress and sovereignty in its energy fulfillment. Ultimately, Indonesia should be capable of meeting its own energy needs and navigating global dynamics free from external pressures.
Merdeka!
