Jakarta, Gatra.com – The issue of the energy transition has become one of the main discussions on a national and global scale in recent years. The discussion was also included in the G20 Summit in Bali on November 15-16.

As a result, several member state agreement documents show commitment towards the energy transition, including the G20 Chair’s Summary Energy Transitions Minister Meeting 2022 and the Decade of Actions: Bali Energy Transitions Roadmap.

Executive Director of the civil society organization Publish What You Pay (PWYP) Indonesia, Aryanto Nugroho said that in the G20 State agreement document, it is necessary to pay attention to matters in the implementation process towards the energy transition.

“We try to read the G20 results document, and find the term mineral supply chain in the G20 Chair’s Summary Energy Transitions Minister Meeting 2022. This is an agreement and commitment to finding solutions for energy security by strengthening the supply chain, including minerals,” he said in a discussion entitled “Reflection on the Just Energy Transition Agenda in Indonesia’s Mineral Supply Chain Policy,” Wednesday (21/12).

He stated that in encouraging clean energy, the supply chain must be secured, promoting clean energy because the world needs it. The shift from coal to minerals will increase the demand for minerals, so it is crucial to maintain the supply.

“For example, nickel for clean energy needs, batteries, in Indonesia in particular, the effort to immediately produce electric cars is extraordinary. This supply chain is important to discuss,” he said.

Ary emphasized that mineral needs for clean energy technology must also pay attention to the process of getting there. This means that the extraction of resources, such as nickel, should be refined with the goals of the climate goals themselves.

He mentioned that the goals of climate change and sustainable development must remain the primary goal so the process is consistent with the plan.

“Because of the need for batteries, electric cars will extract extraordinary nickel so that it is at odds. Investment is not green, and the implementation of operations is also far from the principles of sustainable development. Is this fair enough for regions like Indonesia that have extraordinary nickel resources? This must be in line with sustainable development,” he explained.

The implementation of the energy transition, said Ary, needs to be carefully considered. Preparations in Indonesia must be taken seriously so that the results are consistent in using clean energy.

Ary explained that in the Decade of Actions document: Bali Energy Transitions Roadmap, the use of ESG (Environment, Social, Governance) standards needs to be carried out towards the energy transition. ESG is a concept that prioritizes sustainable development, investment, and business activities through three main factors: environment, society, and governance.

The implementation of ESG standards is needed in the energy transition process. This is a concern and needs to be encouraged as well as a reflection of clean energy on how the company has been running its operations,

“ESG as an environmental and social standard is encouraged in the context of the operations of companies that extract minerals. Clean energy technology must also ensure, which is expected from the G20, companies refer to ESG standards,” he said.

Source: Gatra