and grasslands and to use residues from existing production forests without
encroaching upon rainforests. Bioenergy from such sources would make use of
surplus crop potential and not threaten food production.
Strategy of the International Energy Agency (IEA) Below is a summary of
“World Energy Outlook 2018” (IEA 2018).
Renewables, including solar power, wind power, hydropower, and biofuels, are at
the center of the transition to a less carbon-intensive and more sustainable energy
system. Wind and solar PVs provide more than half of the additional electricity
generation by 2040 in the Stated Policies Scenario and account for almost all the
growth in the Sustainable Development Scenario. The electricity sector remains the
brightest spot for renewables with the strong growth of solar photovoltaics and wind
in recent years, building on the already significant contribution of hydropower.
However, electricity accounts for only one-fifth of the global energy consumption,
and the role of renewables in the transportation and heating sectors remains critical to
the energy transition. Renewable power needs to expand significantly to meet the
IEA Sustainable Development Scenario goal, in which half of electricity generation
is from renewable sources by 2030.
However, as bioenergy is available mainly in the form of biofuels, such as biogas,
bioethanol, and biodiesel, wood biomass accounts for a negligible amount of the
renewable energy resources.
Strategy of the CIFOR Below is a summary of the CIFOR report on renewable
energy (Pirard et al. 2017).
Based on Pirard et al. (2017), to achieve the target of 23% renewable energy by
2020, Indonesia has been actively exploring options to loosen its dependence on
fossil fuels. While biofuels have been developing fast and remain a priority for the
government, wood-based energy also holds great potential. Wood-based energy
could be based on the high-profile large-scale industrial tree plantation program in
Indonesia. This is one of the largest in the world with millions of hectares planted,
but it has failed to achieve all of its public objectives. The government envisions its
revival, with bioenergy as an alternative to the mature pulp and paper market. To do
so, a flagship feed-in tariff policy has been put in place as an incentive for power
plants to using biomass (or biogas material). Based on research, this source of energy
will not represent a significant share of the energy market for a long time. Major
obstacles include the difficulty in establishing and managing large-scale tree plantations dedicated to energy production with recurrent claims and conflicts on the
ground, the inability of the feed-in tariff policy to compensate investors for the risks
of shifting to a new type of energy, the absence of subsidies provided to the stateowned electricity company that sees little interest in buying relatively expensive
power, and the lack of proof of concept that lowers the probability of significant
investments in this field.
Strategy in Indonesia Below is a summary of “Low-Carbon Development: A
Paradigm Shift towards a Green Economy in Indonesia” (Bappenas 2019).
6 Natural Capital-Based Societies in the Tropics
229
encroaching upon rainforests. Bioenergy from such sources would make use of
surplus crop potential and not threaten food production.
Strategy of the International Energy Agency (IEA) Below is a summary of
“World Energy Outlook 2018” (IEA 2018).
Renewables, including solar power, wind power, hydropower, and biofuels, are at
the center of the transition to a less carbon-intensive and more sustainable energy
system. Wind and solar PVs provide more than half of the additional electricity
generation by 2040 in the Stated Policies Scenario and account for almost all the
growth in the Sustainable Development Scenario. The electricity sector remains the
brightest spot for renewables with the strong growth of solar photovoltaics and wind
in recent years, building on the already significant contribution of hydropower.
However, electricity accounts for only one-fifth of the global energy consumption,
and the role of renewables in the transportation and heating sectors remains critical to
the energy transition. Renewable power needs to expand significantly to meet the
IEA Sustainable Development Scenario goal, in which half of electricity generation
is from renewable sources by 2030.
However, as bioenergy is available mainly in the form of biofuels, such as biogas,
bioethanol, and biodiesel, wood biomass accounts for a negligible amount of the
renewable energy resources.
Strategy of the CIFOR Below is a summary of the CIFOR report on renewable
energy (Pirard et al. 2017).
Based on Pirard et al. (2017), to achieve the target of 23% renewable energy by
2020, Indonesia has been actively exploring options to loosen its dependence on
fossil fuels. While biofuels have been developing fast and remain a priority for the
government, wood-based energy also holds great potential. Wood-based energy
could be based on the high-profile large-scale industrial tree plantation program in
Indonesia. This is one of the largest in the world with millions of hectares planted,
but it has failed to achieve all of its public objectives. The government envisions its
revival, with bioenergy as an alternative to the mature pulp and paper market. To do
so, a flagship feed-in tariff policy has been put in place as an incentive for power
plants to using biomass (or biogas material). Based on research, this source of energy
will not represent a significant share of the energy market for a long time. Major
obstacles include the difficulty in establishing and managing large-scale tree plantations dedicated to energy production with recurrent claims and conflicts on the
ground, the inability of the feed-in tariff policy to compensate investors for the risks
of shifting to a new type of energy, the absence of subsidies provided to the stateowned electricity company that sees little interest in buying relatively expensive
power, and the lack of proof of concept that lowers the probability of significant
investments in this field.
Strategy in Indonesia Below is a summary of “Low-Carbon Development: A
Paradigm Shift towards a Green Economy in Indonesia” (Bappenas 2019).
6 Natural Capital-Based Societies in the Tropics
229
