Editor’s choice
This paper explores the complex dynamics that could affect Indonesia’s future coal production, as a basis for a dialogue about how the country can balance its coal reserves with development priorities and global environmental challenges.
Over the last decade, Indonesian coal production has risen dramatically. The country is now one of the world’s largest exporters of coal, and the largest exporter of steam coal.
This expansion comes at a time of transition for the international coal industry. Renewable energy costs are becoming competitive with coal-based electricity, the international community is ramping up ambition to tackle climate change, and financial institutions (especially international banks and pension funds) are showing a weakening appetite for coal assets.
This paper explores the deep intertwining of coal mining within Indonesia’s political landscape. It highlights how coal production and exports fit into a very complex social, financial and political ecosystem. This system has allowed and encouraged a large, rapid expansion in coal production, and despite recent changes and announcements, there are no clear signs of this changing any time soon.
Learn more about the SEI Initiative on Fossil Fuels and Climate Change
Initiative / This SEI initiative creates a platform for high-quality, timely and policy-relevant research and communications on various facets of fossil fuel development.
SEI working paper / Analysis of the political factors that shape subsidies to coal extraction in Colombia, and why and how those subsidies have been promoted.
Journal article / Should governments be doing more to keep global palm oil value chains sustainable?
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