It is higher than the 33.4-billion-USD goal the Indonesian government set for 2019.
It consists of 13.8 billion USD in investment in oil and gas; 12 billion USD in electricity; 7.8 billion USD in minerals and coal; and 2.3 billion USD in renewable energy and conservation.
The government is encouraging economic growth and national employment by raising the target this year, said Minister of Energy and Mineral Resources Arifin Tasrif. As the energy sector plays a strategic role in boosting the country’s economy, the government would try to make the investment climate more conducive for investors, he added.
As many as 186 investment permits will be cut, the minister continued, since the permit became the main reason behind the realisation of investment in energy below the target last year.
The non-tax state revenue from the energy sector only reached 172.9 trillion IDR (about 12.49 billion USD)compared to the target of 214.3 trillion IDR.
To fulfil this year’s target, the ministry will implement strategic programmes and policies including accelerating refinery projects, launching oil and gas data access, capping the price of coal at 70 USD per tonne for power generation and replacing the use of fuel at plants.