Legal Aspects of Indonesia’s Obligation to Use Renewable Energy

The continued use of fossil fuel energy can increase the concentration of CO2 gas in the atmosphere and is a major cause of climate change. Amid concerns about the impact of fossil fuel energy use, fossil fuels still dominate national energy consumption in Indonesia. In this position, it is important to know how the legal aspects related to Indonesia’s obligations in the utilization of natural resources, especially in encouraging the use of renewable energy. This research is a normative juridical research. This research aims to analyze what legal aspects provide an obligation for Indo-nesia to make an energy transition. This is important to encourage the use of renewable energy in Indonesia. The results of this study show that In-donesia has an obligation to encourage the use of renewable energy, where this obligation arises from aspects of national law and from aspects of international law.

fore, it is important for everyone to protect the environment for its own sake as well as for the survival of mankind. 1 Since the 1980s, the global community's concern about environmental damage has increased due to the use of fossil fuels, which can cause acid rain and increased ozone levels. 2 Increased concentrations of CO2 gas in the Earth's atmosphere lead to changes in the environment and land use, both of which are caused by an imbalance between the energy received and the energy released into the air, resulting in a change in the order of the atmosphere that changes the temperature significantly in the atmosphere 3 or often referred to as climate change.
Global climate change is caused by the increasing concentration of CO2 gas in the earth's atmosphere as a greenhouse effect, industrial activities, utilization of oil and coal resources, and forest fires as the largest contributor to CO2 gas emissions in the world. 4One of the human activities that greatly affects climate change is the use of fossil fuels.This is as mentioned by the United Nations on its website, which states that: 5 "Climate change refers to long-term shifts in temperatures and weather patterns.These shifts may be natural, such as through variations in the solar cycle.But since the 1800s, human activities have been the main driver of climate change, primarily due to burning fossil fuels like coal, oil and gas." Climate change is an issue that continues to emerge today.Climate change is also one of the biggest challenges for the world today. 6The impacts of climate change include tropical cyclones, tides and floods, extreme temperature increases, tsunamis, droughts, and El Nino which can cause ecological disasters. 7The impacts of climate change are not only for humans, but also pose a global threat to biodiversity and ecosystems. 8Recent decades have shown that climate change has occurred significantly at the global level due to natural factors, as well as due to increased human activities that alter the composition of the global atmosphere. 9Some of the variables that result in climate change are due to human actions derived from industrial activities, animal husbandry, land clearing processes, and changes in land use. 10 Climate change has become a global problem.Therefore, mitigating climate change requires an active role and commitment from every country, one of which is to make an energy transition.Energy transition is an important step that needs to be taken by countries in the world to reduce carbon emissions that cause climate change. 11n the midst of environmental damage and the effects of climate change, the use of renewable energy to replace fossil fuel energy is very important.This is because the use of fossil fuel energy can release carbon dioxide and other greenhouse gases that are major contributors to global warming and climate change. 12nergy transition is the process of switching from the use of energy sources derived from fossil fuels (not environmentally friendly) to the use of clean energy (environmentally friendly) such as the use of solar, water, wind, and geothermal energy.Renewable energy in addition to being environmentally friendly also has an abundant amount. 13Therefore, energy transition is considered as an opportunity to produce cheaper or better energy services. 14The renewable energy that can be utilized includes solar energy, wind energy, and geothermal energy.Kovac said that the energy transition is not something that awaits us in the next decade, but rather as a step that has been taken through the application of renewable energy sources as a substitute for fossil fuel energy. 15he adverse effects of using fossil fuel energy as described above do not necessarily make every country limit or stop the use of fossil fuel energy, one of which is Indonesia.In Indonesia, the use of energy from fossil fuels is still the main support in meeting national energy needs. 16Based on its use, in 2021 the transportation sector held the largest portion of fossil fuel use, which amounted to 44.2% of total national energy consumption, while in second place the largest use of fossil fuels in Indonesia was the industrial sector, which amounted to 33.5%. 17This then becomes a problem, because as is well known, fossil fuel is a major contributor to global warming and climate change. 18n addition, Indonesia has committed to an energy transition through the national general energy plan (RUEN)

State Obligations in Encouraging the Use of Renewable Energy in the Context of National Law
The philosophical foundation of natural resource management in Indonesia is Article 33 paragraph (3) of the 1945 Constitution of the Republic of Indonesia. 21Article 33 paragraph (3) of the 1945 Constitution states that: "The land and water and the natural resources contained therein shall be under the control of the state and shall be used for the greatest prosperity of the people".This provision has clearly mentioned the state as the authority that has the right to control existing natural resources.On the other hand, the state also has the obligation to use existing natural resources for the purpose of the people›s prosperity.The Constitutional Court of the Republic of Indonesia has interpreted the meaning of the phrase "used for the greatest prosperity of the people" contained in Article 33 paragraph  (3) of the 1945 Constitution.
The phrase, according to Constitutional Court Decision Number 50/PUU-X/2012, is interpreted into three aspects.First, it places the earth, water, and natural resources contained therein as objects.
Second, explaining the existence of legal relations between the subject and the object.and Third, interpreting legal relations and legal actions between the subject and the object. 22In addition, Article 33  paragraph (3) also gives meaning to the State›s Right to Control (HMN), which is then explained specifically through Article 2 paragraph (2) of Law Number 5/1960 on the Basic Regulation of Agrarian Principles (UUPA).Article 2 paragraph (2) of UUPA classifies the meaning of HMN in 3 aspects, namely: a. Regulate and organize the allocation, use, supply and maintenance of the earth, water and space.This means that HMN mandates the state, in this case the government is positioned as the subject to organize HMN.b.Determining and regulating legal relationships between people and the earth, water and space.In this aspect, the state is positioned as a controller and liaison.c.Determining and regulating legal relationships between people and legal acts concerning the earth, water and space.This aspect is still the same as the second aspect, but has a difference in its object, namely legal acts on the earth, water and space.Bambang Eko Supriyadi commented on HMN, stating that Article 2 paragraph (2) of the UUPA has the opportunity to determine the types of rights to agrarian resources and is given to people (the people), either individually or in groups. 23However, the point is that the state must still heed Article 2 paragraph (2) of the UUPA, namely the benefits for the prosperity of the people in the name of nationality, welfare and independence.The same view is also expressed by Arie Sukanti Hutagalung, where HMN will also give authority to the state to issue various policies in the utilization of earth, water, space, and natural resources in Indonesia.In this case, the state exercises its authority only as a ruling institution, not a right holder. 24inally, HMN's concept regarding the phrase "for the greatest prosperity of the people" can be seen through the benchmarks set by the Constitutional Court.The benchmarks place the people as the subject and natural resources (SDA) as the object, namely to see: (a) the level of benefits of SDA, (b) the level of equity in the benefits of SDA, (c) the participation of the people in utilizing SDA, and (d) respecting the rights of the people for generations to utilize SDA. 25 This means that if these four benchmarks have not been implemented, it indicates that the goal of the greatest prosperity of the people has not been fulfilled.
Based on the description above, HMN clearly gives duties and responsibilities to the state to not only utilize natural resources, but implicitly the state must also pay attention to the sustainability of existing natural resources.In addition, the right to control the state originating from Article 33 paragraph (3) of the Indonesian Constitution does not only provide the authorities as mentioned, but also gives birth to obligations that must be carried out by the state.According to Nico Schrijver, these rights and obligations must be balanced and are inherent in almost every legal system. 26hus, resource management must focus on efficiency and sustainability, where efficiency means maximizing profits or obtaining the maximum benefit from existing natural resources.Meanwhile, sustainability is defined as a level of utilization that is not excessive, so that it is possible to regenerate resources in the long term. 27Therefore, the use of renewable energy as an obligation for the state is very clear, which is reflected in the mandate of the provisions of Article

Indonesia›s Obligation to Encourage the Use of Renewable Energy in the Context of International Law
In the use and utilization of natural resources, Indonesia not only has rights, but also has obligations, such as using and utilizing existing natural resources by taking into account the rights of the people.In contrast to the 1945 Constitution which uses the phrase «the prosperity of the people", the United Nations General Assembly Resolution uses the phrase «the welfare of the people".This can be seen in UN General Assembly Resolution 1803 (XVII) of 14 December 1962, which provides some specific guidelines for the permanent sovereignty to every country, including Indonesia.The first paragraph of the UN General Assembly Resolution emphasizes that: "The right of the people and the nation in the form of permanent sovereignty over natural wealth and natural resources must be exercised with the aim of achieving the interests of national development and the welfare of the people in the State concerned." Based on these provisions, the UN General Assembly clearly attributes the exercise of permanent sovereignty to the state, but on the condition that it promotes national development and public welfare.This aims to avoid circumstances that could be detrimental to Legal Aspects of Indonesia's Obligation to Use Renewable Energy Jambe Law Journal, Vol. 5, No. 2 (2022) society.For example, the benefits of natural resource exploitation accrue to foreign investors and national elites who may not benefit the community.This obviously requires that permanent sovereignty over natural resources should be exercised for national development and the welfare of the people. 28Welfare is defined as an effort to make people safe and prosperous. 29n addition to using existing natural resources for the prosperity and welfare of the people, Indonesia also has an obligation to fulfill the rights of its people in the form of the right to a good and healthy environment.This is in line with the UN General Assembly's move to recognize the environment as a human right for the first time on 28 July 2022 through resolution 76/300.30 Recognition of the right to the environment is a positive development, where previously the commercial interests of the state and the global political economy defeated values in human rights and the environment.31 This then creates a responsibility for Indonesia to fulfill the right to a good environment, especially by minimizing the impact of fossil fuels and switching to renewable energy.Moreover, Indonesia has also recognized the right to the environment in Article 28H paragraph ( 1 At the international level, Indonesia showed its important role by hosting COP 13 in 2007 in Bali.COP 13 produced the Bali Action Plan which placed an important role on Indonesia's forests through the implementation of the REDD+ scheme and resulted in the prep-aration of the IFCA (Indonesia Forest Climate Alliance) study.The Bali Action Plan also agreed on Policy Approaches and Positive Incentives for REDD+ in Developing Countries which allows to provide solutions to deforestation in developing countries so that it can be reduced, but still be able to continue its national development.32 The deforestation rate in Indonesia can be seen in the following table.33 Based on the table above, the rate of deforestation in Indonesia from 2016-2020 fluctuates, but tends to decrease.Therefore, the policies produced through the Bali Action Plan are very important because they aim to reduce deforestation in Indonesia while continuing development.This depends on the efforts made by the Government of Indonesia so that these policies can run effectively in Indonesia.Meanwhile, deforestation has negative impacts on the environment, including habitat degradation and biodiversity loss, reduction in the quality and quantity of water regulation services, air pollution, and climate change emissions that cause greenhouse gases (GHG).34 Indonesia is also a country involved in the ratification of the has a target for the use of renewable energy.39 Indonesia›s target for renewable energy use is 23% by 2025 and 31% by 2050.40 Indonesia›s involvement in reducing emissions at the international level has created an obligation to carry out climate policies, such as making energy transitions or switching to the use of renewable energy.Effective climate policy aims to reduce the risk of climate change by establishing an appropriate system between the environment and humans.41 Therefore, with the various impacts caused by the use of fossil fuel energy, it can be said that the use of renewable energy is no longer an option, but an obligation.

C. Policy Developments that Encourage the Use of Renewable Energy in Indonesia
Energy plays an important role in economic and social development.
However, Indonesia›s energy sector faces challenges in reducing emissions and shifting from a fossil fuel-based energy sector to the use of renewable energy.First, despite its vast renewable energy potential, Indonesia›s energy sector is highly dependent on fossil fuels. 42econd, Indonesia still subsidizes the use of fossil fuels, especially fuel oil.This refers to the Climate Change Transparency 2021 note that Indonesia spent USD 8.6 billion to subsidize fossil fuels in 2019. 43In 2021, the transportation sector holds the largest portion of fossil fuel use, which is 44.2% of total national energy consumption.The second largest use of fossil fuels in Indonesia is the industrial sector at 33.5%. 44ased on Indonesia›s Nationally Determined Contribution (NDC) to the Paris Agreement in 2015, Indonesia is committed to reducing emissions by 29% through its own efforts by 2030 or an increase of 41% if it receives international assistance.In order to implement its commitment, the government then passed Law Number 16 of 2016 concerning Ratification of the Paris Agreement on the United Nations Framework Convention on Climate Change.Efforts to realize this commitment are reflected in the targets made, namely by using renewable energy by 23% of the national energy mix by 2025. 45oal-fired power plants still dominate total electricity generation at around 66%.In the same period, renewable energy contributed an increase of 386 MW and about 13.5% of total electricity generation.The addition of 9 MW of renewable energy that began operating at the end of 2021, gave a total renewable energy capacity of 395 MW.However, these renewable energy additions are still far from what is needed to reach the 23% target by 2025 where Indonesia needs to add at least 13 GW of renewable energy by 2025. 46In this case, improved regulations and policies are essential to encourage the development of renewable energy and achieve the 23% target by 2025.
In its development, the Government of Indonesia has made regulations after the commitment to reduce carbon emissions in the Paris Agreement in 2015, where the regulations were made to sup- Eastern Indonesia; 5. Development of energy plantation forests and utilization of suboptimal lands for biomass through cooperation with KLHK, related ministries/institutions and local governments; 6. Encouraging the use of agro-industrial waste for power generation; and 7. Encouraging the development of PLTSa.
Quoted from the State Power Plant website, it is stated that there are 13 Steam Power Plants that have implemented biomass cofiring from a total of 18 PLTUs that have been tested.In this case, it has produced 269 GWh of electricity from co-firing 276 thousand tons of biomass in 2022. 48In addition, the Indonesian government has also provided an electric vehicle incentive program.Of course, this is an effort made so that vehicle consumers in Indonesia are not only fixated on fossil fuel vehicles.However, according to the author, there are still many efforts that must continue to be made by the Government in reducing carbon emissions and encouraging the implementation of energy transition in Indonesia.Efforts that can be made include limiting or reducing the production as well as the use of coal, the need for regulations in the form of a ban on the establishment of industrial power plants, and efforts to improve the quality of human resources in order to maximize the use of renewable energy resources in Indonesia.
The USD 20 billion Fair Energy Transition Partnership ( JETP) at Indonesia›s G20 Summit stipulates that emissions from the power sector will peak in 2030 and be capped at 290 MtCO2e.Although the JETP target is not aligned with the Paris Agreement of 1.5°C, it is still possible to accelerate the growth of renewable energy in Indonesia, increase energy efficiency measures, and initiate coal phasedown before 2030.This indicates that the government still has a lot 48 PLN.co.id, "Produksi Energi Bersih, PLN Group Manfaatkan Co-firing Biomassa Gantikan Batu Bara", https://web.pln.co.id/media/siaranpers/2022/12/produksi-energi-bersih-pln-group-manfaatkan-co-firing-biomassa-gantikan-batu-bara, accessed 4 December 2022.
of work to do on Indonesia›s energy transition.49So it is important for Indonesia to continue to be active in realizing its commitments and taking strategic steps in pursuing the use of renewable energy in Indonesia, including encouraging sustainable investment in the use of renewable energy in Indonesia.The graph above shows that the investment allocation to the renewable energy sector is still low compared to investment in oil and gas, although it is targeted that the value of investment in the renewable energy sector can increase in 2023.Based on the Indonesia Energy Transition Outlook 2023, there has been a decline in the share of renewable energy (RE) in Indonesia's primary energy mix from 11.5% in 2021 to 10.4% in 2022. 50Therefore, the target of 23% renewable energy use by 2025 is considered difficult to achieve if there are no significant reforms made by Indonesia.The slow adoption of renewable energy also reflects the government's lack of seriousness in realizing the use of renewable energy in Indonesia.
) of the 1945 Constitution, Article 9 paragraph (3) of Law Number 39 of 1999 concerning Human Rights.and Article 65 paragraph (1) of Law Number 32 of 2009 concerning Environmental Protection and Management.

Graph 1 .
Investment Allocation in the Energy Sector in Indonesia (Source: Indonesia Energy Transition Outlook 2023)

and targets Re- newable Energy Technology (RET) in the energy mix of 23% by
33 paragraph (3) of the 1945 Constitution, especially through the 24 Arie Sukanti Hutagalung, Hukum Pertanahan di Belanda dan Indonesia, Denpasar: Pustaka Larasan, 2012, p. 161. 25 Putusan Mahkamah Konstitusi Nomor 3/PUU-VIII/2010, p. 161.26 Nico Schrijver, Sovereignty Over Natural Recources Balancing Rights and Duties, New York: Cambridge University Press, 2008, p. 256.27 Rasmus Heltberg, "Property Rights and Natural Resource Management in Developing Countries", Journal of Economic Surveys 16, Num. 2, 2002, p. 194.phrase for the greatest prosperity of the people.This provision has implications for the formation of regulations that require the state to encourage the use of renewable energy in Indonesia.Some regulations that have been made as a form of state responsibility in carrying out these obligations include Presidential Regulation No. 112 of 2022 concerning the acceleration of renewable energy development for the supply of electricity, Minister of Energy and Mineral Resources Regulation No. 35 of 2018 concerning the acceleration of PLTSa development programs, and Minister of Energy and Mineral Resources Regulation No. 53 of 2018 concerning amendments to the minister of energy and mineral resources regulation No. 50 of 2017 concerning the utilization of renewable energy sources for the supply of electricity.

Table 1 .
The Rate of Deforestation in Indonesia