Clean Development Mechanisms (CDM) is one of the mechanisms under the Kyoto Protocol that allows the developing countries selling emission reduction from various projects to the developed countries.

The main emitter in energy sector, particularly from power generation sub-sector, is the coal power plants. Due to decreasing oil exploitation activities in the country, Indonesia has been a net oil importer for the past few years.  Hence, through the revised energy policy, the government of Indonesia intends to adopt the energy mix scenario which may further increase the number of coal power plants, considering coal energy as the least-cost option. However, the policy also emphasizes the utilization of alternatives sources of energy, including renewable energy, and also encourages energy efficiency measures, especially from industry sector.

CDM scheme in Indonesia would play an important role to provide incentives in promoting and optimizing the utilization of the abundant Renewable Energy (RE) resources as well as energy efficiency (EE) measures in Indonesia, which give a more environmentally-friendly option compared to conventional fossil fuel such as coal and oil.

The objectives of the workshop

  1. To develop and increase the knowledge of CDM by:
    • stimulating the emergence of renewable energy and energy efficiency as a potential of CDM project;
    • developing capacity of collaborating organizations through sharing expertise and lessons learned
    • obtaining commitments of some RE/EE project proponents in adopting CDM scheme into its project activities
    • increasing awareness on CDM as an option/tool to increase financial viability of RE/EE projects  among local financial institutions
  2. To facilitate the development of projects including:
    • identifying those municipalities or private sector entities that would like to pursue projects further.
    • Providing opportunity for the project developers to meet  local financial community and energy efficient/renewable energy equipment suppliers.