Home Uncategorized US$ 130 million JETP Grant Funds, the Rest is in Debt

US$ 130 million JETP Grant Funds, the Rest is in Debt

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US$ 130 million JETP Grant Funds, the Rest is in Debt

Jakarta, Timerilis.com – The Ministry of Energy and Mineral Resources (ESDM) revealed that of the US$ 20 billion (Rp 300 trillion) JETP (Just Energy Transition Partnership) fund, only US$ 130 million (Rp 1.9 trillion) is in the form of grant to help Indonesia’s energy transition program.

Secretary General of the Ministry of Energy and Mineral Resources, Dadan Kusdiana said the US$ 130 million is a grant fund and technical assistance, as well as loans from the public and international banks.

“At that time, we had (received) US$130 million in grant (fund). Then, there were technical assistance and loans, especially commercial loans with more tempting interest rates. Finally, the US$10 billion commercial loan is bank data,” said Dadan at the Ministry of Energy and Mineral Resources, on Tuesday (22/8/2023).

Public funding is taken from member countries of the International Partners Group (IPG), the US, UK, Canada, Germany, France, Italy, Japan, Norway, Denmark, and the European Union.

From banking, seven international financial institutions are members of the Glasgow Financial Alliance for Net Zero (GFANZ), including HSBC, Citibank, Standart Chartered, Bank of America, Deutsche Bank, MUFG, and Macquarie.

On August 16, 2023, the JETP Secretariat submitted the Comprehensive Investment and Policy Plant (CIPP) document to Indonesia’s government and IPG.

“On August 16, the submitted document to the government and IPG wasn’t a draft. This is a bit backward, actually, we already have it,” he said.

In the CIPP document, there are important points for investment explanation. Then, policy recommendations are given to the government to be in line with this.

The delay in preparing the CIPP document was also influenced by the additional new data to the technical analysis, thus needing extra time before the CIPP was formalized.

“The people will have the opportunity to review the CIPP document as a whole. Providing input and feedback to be considered in the final revision of the CIPP document,” explained Dadan, on Wednesday (16/8/2023). (Eva/Rd)