Stakeholder Mapping and Analysis of the Renewable Energy Industry in Indonesia

Abstract

The development of renewable energy in Indonesia is still in a relatively fledgling state, yet it is forecast to increase. The Government of Indonesia has formulated and implemented several strategic programs, compiled under several binding frameworks, namely the National Energy Policy and the General Plan for National Energy. The government is committed internationally to reduce its greenhouse gas emissions as part of its Nationally Determined Contributions. However, unearthing the dynamics of renewable and sustainable energy in Indonesia requires a detailed stakeholder analysis of all relevant and major actors. This paper aims to provide a stakeholder analysis of actors in the renewable and sustainable energy sector in Indonesia as a whole, using a Political, Economic, Social, Technological, Legal and Environmental (PESTLE) analysis methodology. The results have indicated that existing policies are not yet perfect, given that the renewable energy industry is still quite minimal, especially in the current conditions of falling oil prices. In the future, it is hoped that the government can formulate a breakthrough policy to improve existing policies in the renewable energy sector, such as by giving ease to investors in the renewable energy sector, including the effective and efficient supply chain management of renewable energy.