Government’s efforts to capitalise on Indonesia’s rich mineral resources through its downstream industry policy may falter if there is no push to tap renewable energy sources, analysts and environmental activists warn. On Tuesday (2/4), Adaro Minerals Indonesia stated that its nonbinding memorandum of understanding (MoU) with South Korean carmaker Hyundai will not be renewed after it expired end of last year. The agreement stipulated that Hyundai would purchase between 50,000 and 100,000 tonnes per annum (tpa) of aluminium during the first production phase of Adaro’s upcoming smelter. Hyundai confirmed the decision not to renew the MoU while stressing its commitment to responsible and sustainable sourcing of materials. Nabilla Gunawan, a campaigner from environmental group Market Forces, opined that the discontinuance of the MoU related to the automaker’s pledge to reach net-zero carbon emissions in its entire supply chain by 2045. The first phase of Adaro’s mineral processing facility will be fully powered by coal, while renewables will  only play a role in the later phase of the project. Agung Budiono, Executive Director of another climate advocacy group Cerah, added that pressure to end fossil fuel use was also felt by miners of other commodities. Arya Rizqi Darsono, Head of the Indonesian Chamber of Commerce and Industry’s (KADIN) Coal and Minerals Committee, admitted that there was pressure on mining firms to get on board with the energy transition push. However, while many players were ready to shift to cleaner power sources, the availability and reliability of green energy was a persistent problem. He urged the government to help increase the clean power supply and to lobby other countries to continue accepting Indonesian products during the transition period.Link di fonte: https://www.thejakartapost.com/business/2024/04/04/lack-of-clean-power-jeopardizes-indonesias-downstream-dream.html (ICE GIACARTA)

Fonte notizia: The Jakarta Post, 4 April 2024