Indonesia cuts production at its giant coal-fired power plant

Drastic reduction in coal-fired power generation in Indonesia to combat pollution in Jakarta. The measures come at a time when the country is committed to reducing its dependence on coal to achieve carbon neutrality by 2050.

Share:

Comprehensive energy news coverage, updated nonstop

8.25£/month*

*billed annually at 99£/year for the first year then 149,00£/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

7-Day Pass

Up to 50 articles accessible for 7 days, with no automatic renewal

3 £/week*

FREE ACCOUNT

3 articles/month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 30,000 articles • 150+ analyses per week

Indonesia takes drastic measures and cuts production at a giant coal-fired power plant near Jakarta.

Jakarta under pressure: Reducing coal-fired power generation in Indonesia

Faced with record pollution peaks in Jakarta, Indonesia has cut electricity production by almost half at a giant coal-fired power plant near the capital, the operator said on Wednesday. The reduction in the plant’s production capacity began on August 29, a week before the opening of the Association of Southeast Asian Nations (Asean) summit, which has been taking place in Jakarta since Tuesday.
The Indonesian capital, a conurbation of some 30 million inhabitants, was the world’s most polluted city for four days in early August, according to air quality monitoring company IQAir. Pollution peaks were also reached at the end of August.

“Since August 29, the operator PLN IP (Indonesia Power) has reduced production at its Suralaya coal-fired power plant by 1,600 megawatts (…) to help improve air quality in Jakarta,” Irwan Edi Syahputra Lubis, managing director of the energy company, told AFP.

Located on the west coast of the large island of Java, around 100 km from Jakarata, the plant now produces 1,800 megawatts, the official said. He did not specify whether this reduction in production was temporary or definitive, stressing that the operator was following government directives.

Environmental challenges: Suralaya power plant expansion despite carbon neutrality targets

Indonesia, whose electricity production is largely based on coal-fired power plants, of which the country is a major producer, has pledged to stop building new coal-fired power plants from 2023, in order to achieve carbon neutrality by 2050. However, despite protests from environmental groups, the Suralaya power plant is to be expanded from its current eight units to a total of ten.

As part of a government project to improve air quality, thousands of civil servants in the Indonesian capital were invited to telework from the end of August.

At the end of August, Environment Minister Siti Nurbaya Bakar announced that eleven industrial companies in the Jakarta area had been sanctioned for non-compliance with standards, as part of measures to reduce major pollution peaks.

Why it matters

A major coal-fired power plant in Indonesia is reducing output to combat alarming levels of pollution in Jakarta. The move comes at a time when Indonesia is committed to reducing its dependence on coal to meet its carbon neutrality targets by 2050. Pollution peaks have serious consequences for public health and the environment, prompting the government to take immediate action to improve air quality in the capital.

Queensland coal producers are struggling to rein in costs, which remain above pre-2022 levels as the impact of royalty hikes and margin pressures continues to weigh on the sector.
Coal will temporarily become the main source of electricity in the Midwest markets MISO and SPP during winter, according to the latest federal forecasts.
The Trump administration plans to open millions of federal hectares to coal and ease environmental rules governing this strategic industry.
The integration of private operators into South Africa’s rail network marks a turning point for coal exporters, with a target of 55 million tonnes exported in 2025 from the Richards Bay terminal.
Facing Western restrictions, Russia plans to increase coal deliveries to China, India and Turkey, according to a recent presentation on the sector’s outlook.
The visit of the Pakistani president to Shanghai Electric marks a new strategic phase in China-Pakistan energy cooperation, centred on the Thar mining and power project and local skills development.
Port congestion in Australia has boosted Russian and Indonesian coal exports to South Korea, with both now dominating the market due to lower prices and reliable delivery schedules.
Polish state-owned producer JSW confirms its 13.4 million tonnes production target for 2025 thanks to new equipment coming online, despite recent disruptions at multiple sites.
Russia and Indonesia overtook Australia as South Korea's top thermal coal suppliers in August, driven by lower prices and more reliable logistics amid persistent Australian shipment delays.
Uniper has demolished cooling tower F at its Scholven power plant, marking a new stage in the dismantling of the Gelsenkirchen coal site, where the energy company plans to build a hydrogen-ready gas-fired plant.
Underreported methane emissions from Australian mines could increase steelmakers’ carbon footprint by up to 15%, according to new analysis highlighting major gaps in global supply chains.
The new Russian railway line linking the Elga mine to the Sea of Okhotsk port will reach full capacity in 2026, after an operational testing phase scheduled for 2025.
The Romanian government is asking the European Union for a five-year delay on the closure of 2.6 gigawatts of coal capacity, citing delays in bringing gas and solar alternatives online.
President Gustavo Petro bans all coal exports to Israel, a decision with minor energy effects but strong diplomatic weight, illustrating his anti-Americanism and attempts to reshape Colombia’s domestic politics.
India’s coking coal imports are rising and increasingly split between the United States and Russia, while Australian producers redirect volumes to China; 2025 results confirm a shift in trade flows.
China approved 25 GW in H1 2025 and commissioned 21 GW; the annual total could exceed 80 GW. Proposals reached 75 GW and coal’s share fell to 51% in June, amid declining imports.
Valor Mining Credit Partners completes its first major financing with a secured loan to strengthen the operational capacity of a U.S. mining site.
Amid tensions on the Midwest power grid, Washington orders the continued operation of the J.H. Campbell plant to secure electricity supply over the coming months.
Peabody Energy abandons the acquisition of Anglo American’s Australian coal assets, triggering an arbitration process following the failure of a post-incident agreement at the Moranbah North mine.
Core Natural Resources announces USD220.2mn in operating cash flow for the second quarter of 2025, while revising its capital return strategy and increasing post-merger synergies.

All the latest energy news, all the time

8.25£/month*

*billed annually at 99£/year for the first year then 149,00£/year ​

Unlimited access - Archives included - Pro invoice

7 DAY PASS

Up to 50 items can be consulted for 7 days,
without automatic renewal

3£/week*

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.