Economic Recovery and Energy Transition Programs Must be in Accordance

KOMPAS/MEDIANA

Indonesian Pavilion at the 2022 World Economic Forum (WEF) in Davos, Switzerland, Monday (23/5/2022).

DAVOS, KOMPAS — Economic recovery efforts after the COVID-19 pandemic must go hand-in-hand with the transition to more environmentally friendly energy. The Indonesian government called for this to be achieved collaboratively among countries.

"We said that it was time for all countries to sit together equally to address environmental issues as a result of climate change," said Investment Minister Bahlil Lahadalia when opening the Indonesian pavilion at the Annual Meeting of the World Economic Forum (WEF 2022), on Monday (23/5/2022), in Davos, Switzerland.

Also attending from Indonesia were Coordinating Economic Minister Airlangga Hartarto, Energy and Mineral Resources Minister Arifin Tasrif, Industry Minister Agus Gumiwang Kartasasmita, Communications and Information Minister Johnny G Plate and Deputy State-Owned Enterprises Minister Kartika Wirjoatmodjo. Additionally, the chairperson of the Chamber of Commerce and Industry (Kadin), Arsjad Rasjid, and the ambassador to Switzerland and Liechtenstein, Muliaman D Hadad, were present.

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Bahlil said that Indonesia had long called for efforts to overcome environmental problems to be carried out collaboratively. However, double standards often emerge at the international level. For example, Indonesia's policy since 2020 to ban nickel ore exports has been protested by the international community. In fact, the policy aims to meet the needs of developing an electric vehicle ecosystem that is in line with the transition to more environmentally friendly energy.

However, up to now, these two types of commodities are still being used, and the products from Indonesia are still being sought.

In another example, the use of coal and palm oil is mentioned by the international community as having a negative impact on the environment. However, up to now, these two types of commodities are still being used, and the products from Indonesia are still being sought.

"Two issues being faced by the global community right now are the mitigation of the COVID-19 pandemic and the post-pandemic economic recovery. Stay focused on those two issues. At the same time, equal collaboration among countries toward an energy transition must be encouraged,” said Bahlil.

With regards to the energy transition, Airlangga Hartarto said, Indonesia was currently focusing on stopping a number of steam power plants (PLTU) early and adopting renewable energy. The challenge is to provide sufficient funding for these two focuses.

KOMPAS/BENEDIKTUS KRISNA YOGATAMA

Coordinating Economic Minister Airlangga Hartarto

Airlangga further said, during the meeting in Davos, that there were two other important issues that Indonesia continues to raise. First is the health architecture of the COVID-19 pandemic. According to

him, all state leaders must be aware that there are still developing countries that have not had access to vaccines. There should be funding to help with vaccinations in such countries.

“Secondly, we recognize that digital technology plays an important role in economic recovery and growth. However, we also understand that there are still unequal connectivity issues – internet infrastructure. We bring this issue to the stage of the G20, which takes place in Indonesia," said Airlangga.

Issues discussed include government policies and business strategies against the backdrop of the global pandemic, the Ukraine-Russia conflict and geo-economic challenges.

WEF 2022 is held under the theme "Working Together, Restoring Trust". Issues discussed include government policies and business strategies against the backdrop of the global pandemic, the Ukraine-Russia conflict and geo-economic challenges. The forum will take place from 22-26 May 2022.

Dozens of state leaders

More than 50 heads of state or government attend this forum. They are a part of 2,500 delegate members, ranging from business leaders and academics to community leaders. There are a number of big names, including Germany's new Chancellor Olaf Scholz, European Union President Ursula von der Leyen, NATO secretary-general Jens Stoltenberg and the United States president's special envoy on climate issues, John Kerry.

KOMPAS/WAWAN H PRABOWO (WAK)

Investment Minister Bahlil Lahadalia

Inflation is a major concern because energy and food prices have skyrocketed. This situation adds to fears of famine in countries that depend on wheat from the region. “The pandemic has caused sharp increases in food and energy prices. Not everyone is able to respond to the increase,” said Oxfam executive director Gabriela Bucher.

(This article was translated by Hyginus Hardoyo)