Indonesia: Oil, Gas & Electricity

The Government of the Republic of Indonesia is deliberating a draft Law on Oil and Natural Gas (“Draft Law”) that is intended to replace Law No. 22 of 2001 on Oil and Natural Gas, as amended by Law No. 6 of 2023 on the Enactment of Government Regulation in Lieu of Law No. 2 of 2022 on Job Creation into Law (“Law 22/2001”). The Draft Law was submitted by the President and is dated 3 March 2026, and remains subject to deliberation and approval by the House of Representatives (Dewan Perwakilan Rakyat or “DPR”) before enactment.

Indonesia is implementing a centralized export governance framework through Government Regulation No. 24 of 2026, requiring strategic natural resource commodities including coal, palm oil, and ferro alloy to be exported through a designated state-owned enterprise. This regulatory shift, effective June 1, 2026, may fundamentally alter existing commercial arrangements, shipping logistics, and contractual relationships between Indonesian exporters and offshore buyers.

The Indonesian government has prepared a draft of a new Government Regulation (“GR”) on Electricity Supply Business ("GR Draft") as part of the efforts to accelerate the energy transition and optimisation of the electricity supply business in Indonesia. GR Draft is intended to replace GR No. 14 of 2012 on Electricity Supply Business, as amended by GR No. 23 of 2014 (“GR 14/2012”). GR Draft is still under governmental deliberation.

In an effort to strengthen product quality and consumer protection, the Indonesian Ministry of Industry has issued Ministry of Industry Regulation No. 8 of 2025 on the Mandatory Implementation...

On May 26, 2025, after years of anticipation, Indonesia's energy sector received a major boost : PLN secured the long-awaited approval from the Minister of Energy and Mineral Resources...

On May 26, 2025, Indonesia's minister of energy and mineral resources (MEMR) held a press conference themed "Increasing Security and Sustainability of National Energy"...

As a part of Indonesia's international commitments to accelerate its energy transition, the Government of Indonesia (GoI), in late 2022...

The MEMR of Indonesia has recently issued MEMR Regulation No. 2 of 2023 on the Organization of Carbon Capture and Storage and Carbon Capture, Utilization and Storage for Upstream Oil-and-Gas Business Activities (MEMR 2/2023).

This article provides a regulatory overview of carbon pricing and trading in Indonesia following the issuance over the past year of 2 initial framework regulations: