As oil prices surge, Indonesia aims to reduce its reliance on fossil fuels and intensify the use of crude palm oil for diesel blending
4-MIN READ4-MIN ListenResty Woro YuniarPublished: 2:20pm, 3 Apr 2026Indonesia is accelerating the transition to clean and renewable energy while pushing for more investments in oil and gas projects, critical minerals and rare earth mining, amid the global energy crisis triggered by the Middle East conflict.In the past week, Jakarta signed a raft of deals with international partners to develop renewable and fossil fuel projects, aimed at achieving energy security as an insurance against the impact of heightened geopolitical tensions.
Green energy could also reduce the burden on the state budget, as the Iran war has pushed Brent crude oil prices past US$100 per barrel, beyond the US$70 per barrel Indonesia used for this year’s budget assumption.
