Indonesian Government Unveils Roadmap for Net-Zero Industrial Emissions by 2050

What's Happening?

Indonesia is committed to achieving net-zero emissions by 2060, with the industrial sector playing a crucial role. The Ministry of Industry, alongside the World Resources Institute Indonesia and the Institute for Essential Services Reform, has developed an Industrial Decarbonization Roadmap aiming for net-zero emissions by 2050. This roadmap targets nine energy-intensive subsectors, including cement, iron and steel, and automotive. The strategy focuses on emission reduction through energy efficiency, electrification, and carbon capture. The roadmap was presented at the Annual Indonesia Green Industry Summit 2025, with plans for a Technical Report and Policy Report to guide implementation.

Why It's Important?

The roadmap is pivotal for Indonesia's economic and environmental future, aligning industrial growth with climate commitments. By targeting significant emission reductions, the roadmap supports global efforts to combat climate change and positions Indonesia as a leader in sustainable industrial practices. The initiative is expected to enhance competitiveness in international markets, attract investment, and create jobs in green industries. It also addresses global emission standards, ensuring Indonesian products remain viable in export markets. The roadmap's success could influence regional policies and encourage other nations to adopt similar strategies.

What's Next?

The Ministry of Industry plans to issue regulations for each subsector starting in September 2026, facilitating the roadmap's implementation. Stakeholders can expect detailed reports outlining emission reduction trajectories and policy recommendations. The roadmap's progress will be monitored and updated to include additional sectors. As Indonesia transitions to a low-carbon economy, businesses may need to adapt to new regulations and invest in sustainable technologies. The roadmap's implementation could lead to increased collaboration between government, industry, and international partners, fostering innovation and economic growth.