ExploRE - Strategic exploration of economic mitigation potentials through renewables

The government of Indonesia is focusing on the expansion of renewable energies to achieve the country’s climate mitigation targets as defined in its nationally determined contribution (NDC). The project supported the Indonesian government in the dissemination and demonstration through pilot projects of a strategy for cost-effective use of renewable energies. These activities are intended to mitigate greenhouse gas emissions through closely linked energy, financial, and planning policies. To achieve this goal, the project advised the responsible ministries on the development financing guidelines for renewable energies and legislation on feed-in tariffs. Besides, the project supported coordination between key ministries and develops financing instruments to promote private investment in renewable energies. These measures will ensure its expansion in the long term.

Project data

Countries: Indonesia
IKI funding: 5,281,872.44 €
Duration: 11/2018 till 12/2025
Status: completed
Implementing organisation: Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH
Political Partner: Diverse climate change relevant institutions in the respective partner countries/Diverse klimarelevante Institutionen in den entsprechenden Partnerländern

Ministry of Energy and Mineral Resources (MEMR) - Indonesia

Ministry of Finance - Indonesia

State Ministry of National Development Planning (BAPPENAS) - Indonesia

The Coordinating Ministry of Maritime and Investment Affairs of the Republic of Indonesia
Implementing Partner: Diverse climate change relevant institutions in the respective partner countries/Diverse klimarelevante Institutionen in den entsprechenden Partnerländern
Online: https://www.giz.de/en/projects/strategic-exploration-economic-mitigation-potentials-through-renewables-explore

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State of implementation/results

Project completed.
Through technical assistance for various Renewable Energy (RE) projects, ExploRE contributed a total estimated reduction of 3,417,943 tCO2e as of June 2025 and up to 3,752,878 tCO2e by December 2025.
Indonesia has adopted carbon pricing as a key instrument to achieve its energy transition target. To support this endeavour, ExploRE organised capacity-development activities to strengthen carbon market implementation for RE projects through better accounting and reporting. In 2024, the project partnered with the Financial Service Authority (OJK) for a 3-day workshop with financial institutions. In April 2025, ExploRE collaborated with the State-owned Electricity Company (PLN) to train over 3,700 participants on the concurrent topic.
Through collaborating with the Ministry of Energy and Mineral Resources (MEMR) and PLN, several initiatives have been launched by ExploRE to improve the achievement and implementation of the energy transition target of the Electricity Supply Business Plan (RUPTL). Further assessments of the economic potential of waste-based biomass feedstocks to be utilised for power generation in four districts in North Sumatra have been completed and the results will be incorporated in PLN’s planning and implementation. In addition, ExploRE finalised recommendations to improve PLN’s current RE procurement process, one of the main bottlenecks for a massive RE projects deployment in the country. One of the recommendations for setting up a new independent RE procurement agency will be further explored by MEMR.
ExploRE continuously emphasised the vast potential of waste-based bioenergy by strengthening the biomethane ecosystem in Indonesia through a multi-layer approach: policy advisories, promotion of higher investments, and ensuring quality project implementation. ExploRE finalised the recommendations for the required supportive regulations for biomethane, preparation of biomethane investments and business licensing guidelines, as well as a Health, Safety, and Environment (HSE) handbook for biomethane plants.
Supporting the expansion of RE utilisation, ExploRE provided technical assistance for the Jakarta Provincial Government PV rooftop projects implementation across the province. This support included the development and implementation of a commissioning check list and training for Jakarta Provincial Government staff to be able to check the quality of PV by themselves in the future.
In addition to its support for a higher RE projects deployment, ExploRE also provided safeguards measures to ensure sustainability in the implementation of supported projects, i.e. to ensure sustainable practice in biomass utilisation for power generation, a sustainable biomass feedstock indicators report was developed together with MEMR in 2025. In addition, a training series on PV and battery waste management with operators of supported PV projects was held to ensure the adequate treatment of hazardous materials from PV projects.

Latest Update:
02/2026