Jakarta, CNBC Indonesia – China brings bad news for Indonesian coal. The country plans to reduce the average ‘black gold’ consumption of power plants to 300 grams per kilo watt hour (kwh) in 2025.
Quotes ReutersThis is done to improve energy efficiency and reduce greenhouse gas emissions. The National Development and Reform Commission (NDRC) said inefficient power plants would also be phased out.
This announcement was made by China at the end of the COP26 climate summit in Glasgow, England. The Chinese president himself was not present at the event in person.
This was also conveyed at a time when China was struggling with an energy crisis that caused a number of areas to be hit by power outages. This has made Panda Country to boost coal production.
This attitude is also the second ‘attack’ of Xi Jinping’s government this year, after previously making a commitment to no longer build coal-fired power plants abroad. At that time he also promised to accelerate efforts to become zero carbon by 2060.
Citing the Handbook of Energy and Economic Statistics of Indonesia 2020, Indonesia’s largest coal exports are indeed to China. Then followed by India and Japan.
In 2020, Indonesia’s coal exports to China will reach 127.78 million tons or around 31.5% of the total national coal exports which reached 405.05 million tons. Meanwhile, exports to India reached 97.51 million tons and to Japan 26.97 million tons.
The highest Indonesian coal exports to China occurred in 2019 before the Covid-19 pandemic hit the world, reaching 144.41 million tons.
Previously, bad news for coal was also conveyed by India. The country at COP26 said it would be zero carbon in 2070.
India will increase its 2030 target of “non-fossil energy” installed capacity. Most of it is solar power, from 450 to 500 gigawatts (GW).
As much as 50% of the country’s energy needs will come from renewable sources. India also announced that the carbon intensity of India’s economy – emissions generated per unit of GDP – will decrease by 45% in 2030, from 35% previously.
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