Indonesia's Energy Sector Gets Strategic Boost from President Prabowo

Key Directives for 2026

Indonesia's Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, convened a meeting with senior officials to convey crucial directives from President Prabowo Subianto regarding the energy sector's strategic agenda for 2026. The meeting, held on January 14, 2026, underscored the government's commitment to revitalizing the energy sector through enhanced oil and gas lifting, increased non-tax state revenue (PNBP), and accelerated downstream activities.

Strategic Focus Areas

1. Oil and Gas Lifting: Achieving targets in oil and gas production remains a top priority. The ministry is tasked with implementing measures to optimize existing fields and explore new opportunities.
2. Non-Tax State Revenue (PNBP): The government aims to boost PNBP through efficient management of natural resources and improved regulatory compliance.
3. Downstream Activities: Accelerating downstream activities is critical for maximizing the value of Indonesia's natural resources. This includes the development of bioethanol, for which a comprehensive roadmap is being prepared by 2028.

Implementation and Roadmap

Bahlil emphasized the importance of translating President Prabowo's directives into actionable plans. To this end, the ministry is working on a detailed roadmap for bioethanol development, expected to be completed soon. This roadmap will outline the necessary steps and milestones for achieving the government's targets in this area.

The government's focus on these strategic initiatives reflects its commitment to leveraging the energy sector as a driver of economic growth and development. By prioritizing key areas such as oil and gas production, non-tax revenue, and downstream activities, Indonesia aims to strengthen its energy security and enhance its global competitiveness.