President Prabowo Subianto announced on Wednesday that Indonesia aims to achieve full energy self-sufficiency within three years. Speaking at the 18th HIPMI National Conference in 2026, the President identified energy independence as a primary pillar of his administration’s development agenda, stating that the government is working to secure these resources to bolster national economic resilience.
How does the government plan to reach energy autonomy?
The administration intends to achieve energy self-sufficiency by linking it directly to its national industrialization program. According to remarks broadcast by the Presidential Secretariat, President Prabowo emphasized a shift away from the export of raw materials. Instead, the government plans to implement a downstreaming strategy, where all strategic commodities are processed domestically. By transforming raw goods into finished products within Indonesian industries, the President expects to create jobs and increase the competitiveness of the national economy.
Why is this shift in energy policy significant?
President Prabowo framed the push for downstream processing as a necessary response to global economic uncertainty. He noted that many nations are currently struggling to secure food supplies, citing United Nations warnings regarding a potential massive famine this year. While the President stated that Indonesia remains strong, he argued that the country cannot ignore these global pressures. By prioritizing domestic processing and energy independence, the administration aims to protect the national economy from external volatility that could disrupt access to essential resources.
What may happen next for the industrial sector?
As the administration moves forward with its three-year timeline, the focus will likely shift toward the practical implementation of downstreaming across various commodity sectors. Because the policy requires that all strategic commodities be processed domestically, local industries may see an increase in infrastructure requirements to handle this capacity. Analysts might expect the government to continue prioritizing these programs to meet the three-year target, though the success of this transition depends on the ability to scale domestic processing facilities to replace raw material exports.