Indonesia and Japan have reinforced their commitment to clean energy by advancing the Kayan Hydropower Project in North Kalimantan, aiming to support Indonesia's net zero emission target by 2060.

As part of the 3rd Public-Private Dialogue Track (PPDT) 1.5 between Indonesia and Japan, a Letter of Intent (LOI) for cooperation in implementing the Kayan Hydropower Project was signed on February 28. The agreement was signed by Edi Prio Pambudi, Indonesia's Deputy for Coordination of Economic and Investment Cooperation, and Masanori Tsuruda, Japan's Deputy Commissioner for International Affairs at the Ministry of Economy, Trade, and Industry (METI). The signing was witnessed by METI Japan’s Vice Minister for International Affairs, Matsuo Takehiko.

Deputy Edi emphasized the strategic value of the Kayan Hydropower Plant, stating, "For Indonesia, the Kayan Hydropower Plant is not just an infrastructure project within the AZEC framework. This project is a strategic investment for Indonesia's energy security and decarbonization efforts."

Deputy Masanori highlighted the importance of follow-up actions from both countries to ensure the project’s progress. He acknowledged the challenges ahead but expressed confidence, saying, "The challenge of building the Kayan Hydropower Plant is not easy, but we believe that the strong bilateral relationship between Japan and Indonesia is a solid foundation for this project."

The Kayan Hydropower Project is part of the Asia Zero Emission Community (AZEC) initiative, a regional collaboration aimed at achieving net zero emissions in Asia. During the Expert Group Meeting in 2024, the Kayan project was classified as a category II project a potential commercial project still in the feasibility study phase alongside peatland management and the Java-Sumatra transmission network projects.

Representatives from various Indonesian ministries, including the Ministry of Industry, Ministry of Trade, Ministry of Investment/BKPM, Ministry of Energy and Mineral Resources, and the Ministry of Foreign Affairs, as well as the Indonesian Chamber of Commerce and Industry (KADIN), were present to witness the LOI signing.

This collaboration underscores the strengthening partnership between Indonesia and Japan in accelerating energy transition projects. The Kayan Hydropower Plant is set to play a crucial role in Indonesia's renewable energy strategy, contributing to energy security and supporting the country's long-term climate goals.

This article was created with AI assistance.