Indonesia's Coal Industry Pressured to Diversify Amid Declining Exports

Indonesia's coal sector is under increasing pressure to diversify as China and India, its primary export markets, reduce coal imports, according to a report by the Jakarta-based think tank, Energy Shift.

The report highlights that the coal industry, contributing around 3.6% to Indonesia's economy, must pivot to cleaner energy alternatives to prevent a costly transition in the future.

Despite record coal production, Indonesia faces risks from its reliance on key buyers and regulatory constraints, as well as inconsistent government policies on emissions and energy transitions.

(With inputs from agencies.)