JAKARTA (Yosefardi) – The Lower House of Representative (DPR) had on Tuesday (Jan 28) approved a new government regulation on energy policy.

Jero Wacik, minister of energy and mineral resources, said the basic priciple of this new regulation on energy policy are to reduce dependency on oil fuel and to boos the consumption of the renewable energy resources by 2025.

By 2025, oil will contribute maximum 25% to total energy consumption, renewable energy contribute 23%, coal 30%, and natural gas 22%.

The country netted $31.3 billion from the sale of oil and gas last year but most of the proceeds were used to fund the Rp 310 trillion ($25 billion) energy subsidy.

Indonesia plans to spend Rp 282 trillion on electricity and oil-fuel subsidies this year.