Chinese investments poised to transform Indonesia's solar industry

While other Southeast Asian countries grapple with the effects of new U.S. trade restrictions, Jakarta is welcoming Chinese solar investments and pushing fast-tracked reforms to become the region's next solar powerhouse.

In an exclusive interview with China Global Television Network (CGTN), Putra Adhiguna, managing director of Energy Shift Institute, praised the move, noting that Chinese investment can accelerate Indonesia's solar transition. However, he emphasized that the country must also build its own capacity to develop solar energy independently in the future.

"China is a natural partner for solar production because they're the leader in technology, capital deployment, and everything else, which means that (for) Indonesia, as a big country in Southeast Asia, the natural partner is actually China. So it's a step in the right direction because if Indonesia is going to grow a lot of renewables, it needs domestic solar panels. It cannot only rely on solar panels imported from China alone," he said.

Over the past 18 months, at least four solar projects linked to Chinese companies have begun operations in Indonesia.

The Indonesian government says it is now focused on creating a business-friendly environment to accelerate the country's transition to clean energy.

As part of these efforts, the government has reduced the local material requirement from 40 percent to just 20 percent, opening the door for more foreign investment.

"We have a commitment that we will increase the percentage of new and renewable energy to support Indonesia's economic growth up to 70 percent. So, we translate it into different (multiple) strategies. One of the strategies is to invite investment. Why this is important? Because Indonesia realizes that Indonesia doesn't have the capacity yet to develop its own renewable energy," said Leonardo Adypurnama, deputy for food, natural resources, and environment at Indonesia's Ministry of National Development Planning.

Adypurnama said Chinese investment remains a crucial step in upgrading Indonesia's solar industry.

Until now, Indonesia's solar market has primarily relied on assembly facilities that use imported parts. This investment aims to change that by establishing factories capable of locally manufacturing and supplying solar panels.

However, the real challenge will be whether Indonesia can stimulate local demand while avoiding entanglement in the ongoing global trade battle.

Chinese investments poised to transform Indonesia's solar industry

The China-CELAC (Community of Latin American and Caribbean States) Forum is expected to bring new vitality to the global development and human civilization, said Colombian President Gustavo Petro in Beijing.

Petro, who delivered a keynote speech at the opening ceremony of the fourth ministerial meeting of the China-CELAC Forum on Wednesday, told China Media Group (CMG) in an interview, while giving a special mention of the importance of the forum as a platform to reshape multilateralism.

"This Forum, held here in China, comes at a pivotal moment in history. And that's precisely what makes it so significant. It is taking place at a time when multilateralism is in urgent need of reshaping. There are some powers who believe they can rule the world through intimidation and shows of force. But with China and Latin American and Caribbean (LAC) countries standing together, we must make them understand: history is full of hard lessons. Those who once flexed their military might did not prevail. They may have enjoyed momentary success in the past, but this time, history will not repeat itself," he said.

This year marks the 10th anniversary of the China-CELAC Forum's operation.

Chinese President Xi Jinping stated in his speech delivered at the opening ceremony of the fourth ministerial meeting of the China-CELAC Forum that under the careful cultivation of both sides over the past 10 years, the China-CELAC Forum has grown from a tender sapling into a towering tree.

Petro hailed the relations between China and LAC countries over the past decade, saying that the cooperation is expected to energize the global development and human civilization.

"Yes, exactly, a tree. A strong and thriving tree, with deep and well-developed roots firmly anchored in the earth. There's no doubt that over the past ten years, trade in physical goods between China and LAC countries has grown substantially. China is involved in building the Bogota metro project. China is also constructing a port in Peru, and many other large-scale infrastructure projects are being advanced through Chinese investment and engineering expertise. When we link the cultural and civilizational threads of China and LAC countries, it's as if we are nurturing a living tree, one that grows tall toward the sky and promises to bring new vitality to the human civilization," he said.

China-CELAC Forum brings new vitality to global development: Colombian president