Business · Energy & Commodities · 3 hrs ago
Indonesia Holds Back Planned Electricity Exports to Singapore
Indonesia has paused plans to export electricity to Singapore amid tensions over cross-border haze.
Energy Minister Bahlil Lahadalia says Indonesia needs the electricity at home, and the government has also cut gas pipeline supplies by 31 BBTUD.
But energy analyst Yayan Satyakti says domestic demand alone does not explain the pause; price and political messaging may also matter.
The 3.4 GW project would use new solar power and batteries, rather than electricity from Indonesia’s existing grid.
Yayan estimates it could generate US$2.8 billion in gross revenue a year, but says the project’s returns depend on the sale price and that each year of delay could forgo about US$500 million in project value.
Singapore gets about 95% of its electricity from gas, and Indonesian pipeline gas supplies around 32% of its gas use, though the recent cut is only about 2.4% of that consumption.
Singapore could replace lost pipeline gas with LNG from global markets, while Yayan says a proposed restriction on exports routed through transit countries may not significantly increase Indonesian government revenue.
Indonesia is holding back a planned 3.4-gigawatt electricity export project to Singapore, with Energy Minister Bahlil Lahadalia saying the country still needs electricity for domestic use.
Energy analyst Yayan Satyakti says domestic needs alone do not explain the decision, and points to electricity prices and a political message as important factors.
The project was designed to use new solar power plants and batteries rather than electricity from Indonesia’s state grid.
Satyakti estimates the project could generate 13.4 terawatt-hours of electricity and about US$2.8 billion in gross revenue each year.
- Who
- Indonesia’s government is holding back the planned exports; Energy Minister Bahlil Lahadalia and analyst Yayan Satyakti are among those cited.
- What
- Indonesia is holding back a planned 3.4-gigawatt electricity export project to Singapore.
- When
- The article was published on 3 November 2026. Satyakti said Bahlil had stated on 19 October that the electricity sale price was not suitable.
- Where
- The electricity was planned to be exported from Indonesia to Singapore.
- Why
- Bahlil said Indonesia still needs electricity for domestic use. Satyakti said price and a political message also matter.
Indonesian government
Yayan Satyakti
Reason for holding back electricity exports
Indonesian government
Bahlil said Indonesia still needs electricity for domestic use.
Yayan Satyakti
Domestic needs are a valid concern, but they are not enough to explain holding back the project; price and a political message also matter.
Bahlil had said the electricity sale price was not suitable.
Yayan Satyakti sent comments to CNN Indonesia about the planned electricity exports.
CNN Indonesia published its article on Indonesia holding back the planned exports.
- Planned export capacity
- 3.4 gigawatts
- Estimated annual generation
- 13.4 terawatt-hours
- Estimated annual gross revenue
- US$2.8 billion
- Estimated project investment
- US$15 billion to US$20 billion; up to US$30 billion to US$50 billion including the solar panel and battery supply chain
- Indonesia’s gas pipeline supply to Singapore
- 409.55 BBTUD, about 32% of Singapore’s gas consumption
What people are saying
Both, with the greatest weight on price and the political message
We cannot read officials’ intentions, but the data show that domestic needs alone are not enough of a reason
The dependence is large, but easy to replace, although at a cost