President Joko “Jokowi” Widodo has ordered Kadin to make thorough preparation for detailed government policies that become the centerpiece of Indonesia’s G20 presidency, which has started on 1 December 2021.
“In the G20, we will focus on the issue of global health architecture, energy transition towards green and sustainable energy, and digital transformation” the President said in his remarks during the opening of the 2021 National Executive Meeting of the Indonesian Chamber of Commerce and Industry (Kadin), Friday (3/12), at the Bali Nusa Dua Convention Center (BNDCC), Bali province.
Currently, he added, the world’s economic pendulum is starting to swing towards a green economy.
To that end, the President said that Indonesia must immediately adjust to the transformation so that the country will be ready when global market only accepts products produced by renewable energy.
“For instance, if at some point in the next two, three, or five years, the European market only accepts green products produced by renewable energy and we are not ready yet, then how are we going to export our products? Once they start, other countries will definitely follow suit too. Therefore, we must start shifting the direction of our economy as soon as possible according to our discussion at the G20,” he explained.
In the energy transition, Indonesia also has strength in the form of abundant natural resources that can be utilized to produce green energy, including hydropower potential from 4,400 rivers across the country.
The President also cited an example of the Mamberamo River in Papua which has the potential to generate 24 thousand megawatts of electricity and the Kayan River in North Kalimantan which can produce between 11 and 13 thousand megawatts.
“It is only from two rivers; once again, we have 4,400 rivers in total. We have not used it for geothermal energy yet. Of 29 thousand megawatts, we only use about 2 thousand, which has not even reached 10 percent of the total. These are the opportunities we have in order to compete with other countries. We have these strengths that we have not been aware of for a long time,” he said.
Therefore, the President urged Kadin to formulate policies related to economic reform, structural reform, and assistance for Micro, Small, and Medium Enterprises (MSMEs), as well as economic transformation in more detail.
The President also wants the needs of economic players on the ground to be in line with the policies set by the Government.
“Earlier, I also ordered to prepare more detail in the transformation of our economy towards a green economy, green energy, green tourism, blue economy according to economic players. What they need and what they desire. There must be policies and implementation. If these two things meet, it will be a great strength,” he said.
In the meantime, Chairperson of Kadin Arsjad Rasjid expressed his appreciation for the presence of President Jokowi and his Cabinet Ministers at the national conference.
Arsjad also praised the Government’s hard work in dealing with the COVID-19 pandemic and stated that he was ready to support the Government’s measures to advance the national economy.
“Our investment and exports recorded extraordinary figures and also the strengthening of domestic economy. We are ready to support the Government’s measures to advance the regional and national economy, especially regarding the amendment of Job Creation Law, the key to growing investment, more job opportunities, and poverty alleviation,” he said in his written statement. (BPMI of Presidential Secretariat/UN) (RIF/MUR)
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