Overview

In response to growing demand for a unified energy strategy, Indonesia previously introduced the National Energy Policy (Kebijakan Energi Nasional – “KEN”) through Regulation of the Government No. 79 of 2014 (“Regulation 79/2014”). This framework established a comprehensive blueprint for energy planning that was set to run until 2050.[1] However, in response to continually evolving global and domestic dynamics that are shaping the execution of KEN, along with significant advances in New and Renewable Energy (Energi Baru dan Terbarukan/EBT) and Indonesia’s pledge to cut greenhouse gas (“GHG”) emissions and achieve Net Zero Emissions (“NZE”) by 2060, the government has now introduced Regulation of the Government No. 40 of 2025 (“Regulation 40/2025”), which bears the same title as Regulation 79/2014 and which effectively came into force on 15 September 2025. [2]