Indonesia’s transition away from coal-fired power plants (CFPPs) represents both a significant challenge and opportunity for the national economy. This study examines three distinct scenarios: Business as Usual (BAU), Phase-Down (gradual transition), and Phase-Out (accelerated transition), analyzing their comprehensive impacts across GDP, fiscal revenues, and employment sectors through 2060. This analysis reveals that early CFPP retirement, when coupled with strategic renewable energy development, can deliver net positive economic outcomes in the medium to long term.
What are the economic impacts and opportunities of CFPPs phase-out on Indonesia’s national GDP, fiscal revenues from coal-related activities, and employment across the coal mining and power generation sectors? And what comprehensive mitigation strategies can be implemented to mitigate negative socioeconomic impacts while accelerating renewable energy adoption in Indonesia?
Read the full report by CORE Indonesia about “The Impact of Early Coal Power Plant Retirement on GDP, Fiscal Policy, and Employment in Indonesia” in attached file below.
