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Journal : Prophetic Law Review

Aligning Indonesia’s Energy-Market Competition Law with the Sustainable Development Goals: Pathways to a Just Energy Transition Anisah, Siti; Heriyanto, Dodik Setiawan Nur
Prophetic Law Review Vol. 7 No. 2 December 2025
Publisher : Universitas Islam Indonesia

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20885/PLR.vol7.iss2.art6

Abstract

Indonesia’s Sustainable Finance Roadmaps (2015-2019; 2021-2025) elevate renewable-energy investment to a national priority, yet the 2023 primary-energy mix is still dominated by coal (39.7 %) and petroleum (29.9 %), with new-and-renewable energy (NRE) at just 13.3 % far short of the 23 % statutory target for 2025. This article undertakes a doctrinal methodology to determine whether the country’s current legal architecture furnishes the pro-competitive conditions required to mobilise private capital toward NRE in harmony with the Roadmaps and Sustainable Development Goals 7, 13, and 16. The study systematically interprets (i) Law No. 30 of 2009 on Electricity, Law No. 22 of 2001 on Oil and Gas, and Law No. 21 of 2014 on Geothermal; (ii) implementing regulations and ministerial decrees on grid access, procurement, and feed-in tariffs; (iii) the Law No. 5 of 1999 and its 2023 implementing guidelines; and (iv) OJK Regulation No. 51/POJK.03/2017 on sustainable-finance disclosure. Statutory provisions are examined for hierarchical consistency, internal coherence, and conformity with Article 33(3) of the 1945 Constitution and Indonesia’s treaty obligations under the Paris Agreement. Doctrinal scrutiny reveals three normative defects: (1) the electricity law’s exclusive procurement mandate enables PLN’s de facto monopsony, contravening the non-discrimination principle in the Competition Law; (2) opaque tariff-setting regulations conflict with transparency duties embedded in the sustainable-finance framework; and (3) sectoral licensing rules omit explicit alignment with OJK’s green-taxonomy criteria, undermining legal certainty for renewable-energy sponsors. The article recommends statutory amendments to embed open-access grid clauses, mandate competitive tendering consistent with fair-competition norms, and cross-reference green-taxonomy thresholds in energy licences. These reforms would synchronise Indonesia’s competition regime with its sustainable-finance objectives and supply the legal certainty essential for a just energy transition.
Co-Authors -, Rohmaniyyah Abdul Syahid Agung Tama, Indra Agustina, Gita Ahmad Dasuki Aly, Ahmad Dasuki Ahmad Faisal Aisyah Pratiwi, Aisyah Akhmad Ali Mirza, Akhmad Ali Alam, Syah Khalif Amani Darma Tarigan Andriana, Melly Annisa Rahmi Galleryzki Anton Setiawan Honggowibowo APRILIA, DIANA Ardiansyah, Muhamad Muzaky ARDIYANTI, IKA Areta Puspa Arfah, Yenni Arfianda, Donni Arif Rahman Hakim Arza Aibonotika Aslamiyah, Suwaebatul As’ad, Ach. Fawaid Atep Sujana AYU LESTARI Bachtiar, Ramayana Bambang Supriadi Baykhaqi, Muhammad Syabil Bochori Bochori Budoyo, Joto Dalimunthe, Muhammad Erpandi Dama, Misda Milala Dasmun, Dasmun Desi Eri Kusumaningrum Devi, Silfiana Dodik Setiawan Nur Heriyanto Efriyeldi, Efriyeldi Eka Wahjuningsih Evaliati Amaniyah Fachrozi, Arief Fadhli Syamsudin Febriyanto, Hendra Fitri, Rahmadhani Ginting, Dya Indriati Br Hamdani Hanafi Wibowo Harianja, Rebekha Heniyatun Hutapea, Anggi Putri Debora Indayani, Pratiwi Innaufal, Ilham Trialdi Ipik Permana Ishaka, Muhamad Buhais Jaedi, Jaedi Jamaludin . Khofifah, Nur Lina Erviana, Lina Lintang Venusita Maharani, Nazurah Mazidah, Fadilah Meiriska Dewi, Syarah Muh, Wendi Muhammad Luthfi Muhammad Naufal, Muhammad Muhdianto, Ahmad Nasution, Yenny Aristia Nilam Sari Nilasari, Putri Norma Eralita Nugrasyah, Amrillah Nunung Suryati Nur Nisai Muslihah, Nur Nisai Octovia, Dhea Zen Pakpahan, Rosmeri Br Panjaitan, Roger Efendi Pengalaman Tarigan, Adisastra Prabawa, Dimas Budi Pradito, Ferdy Haykal Pratama, Renaldi Budi Pratiwi Indayani Pratiwi, Leny Prayitno, Fajar Nur Prayogi, Faisal Puji Sulistyaningsih Pujiastuti, Asih Purnamasari, Mega Isvandiana Putra, Andhika Putra, Fariz Aditya Putri Wardani, Dwi Putri, Annisa Aulya Putri, Nurulita Alya Putri, Vidia Windandari Raden Bambang Sumarsono Rahmadhani Fitri Rahmadhani, Tami Fitri Rahmaniar Rahmaniar Rahmaniar Rahmaniar, Rahmaniar Rahmatia, Zilfa Ramona, Laura Septi Riansyah, Ande Rifqatul Husna Romadhona, Fitri Rr Tutik Sri Hariyati Safitri, Winda Safitriani, Indah Sambo, Desi Ratna Saputra, Yudha Munajat Sari, Shela Intan Sari, Shintia Ulan Sarita, Rahma Sastra P Tarigan, Adi Sehabudin Sehabudin, Sehabudin Setyaningrum, Widia Sihombing, Jepta Adi Putra Simanjuntak, Yessi Oktavia Sitepu, Fredrik Siti Khumayah Subaidi, Moh Subiki, S Sudarmin Sujianto " Supriyadi Supriyadi Susandra Susandra, Susandra Suwaebatul Aslamiyah Syafitri, Natasya Fadhilah Tanjung, Lismawati Tarigan, Adi Sastra P Tarigan, Adisastra Pengalaman Tarigan, Amani Darma Taro, Zuraidah Teguh Triwiyanto Tharo , Zuraidah Tony Yulianto Tresiah, Lidya Tri Astuti Triatama, Putri Zulfa Tusyadiah, Putri Halimah Uswatun Hasanah Wardani, Friska Ayu Wasesa, Meditya Wibowo, Pristisal Wijaya, Rian Farta Yulita Pujilestari Zahro, Zelvi Alfira Zailani, Raden Mochamad Sandika Zain, Rahmita Firda Zidane, M. Zinedine Zulkarnain, Leonardo Zuraidah Tharo