Key facts
- Bahlil Lahadalia said Indonesia would prioritise domestic needs if buyers do not meet its pricing terms.
- Bahlil said his ministry had calculated a proposed export price but did not disclose it.
- Singapore's Energy Market Authority granted conditional licences for 2GW and approvals for 1.4GW of Indonesian imports.
- Bahlil warned sovereign investment agency Danantara against lobbying over electricity export permits.
Indonesia will prioritise its own energy needs over exporting electricity, Energy and Mineral Resources Minister Bahlil Lahadalia said on November 2, according to The Straits Times, complicating a plan to supply renewable power to Singapore.
Speaking to reporters at the Presidential Palace in Jakarta, Bahlil said Indonesia remained open to exporting electricity but would prioritise domestic needs if buyers were unwilling to meet its pricing terms. "As long as the price is right, follow our prices, that is possible. But if the price is not right, we will prioritise domestic needs," he said, according to state news agency Antara. He said his ministry had already calculated the proposed export price but did not disclose it or indicate when exports could begin.
Earlier on November 2, Bahlil said at the Mineral and Coal Convention and Exhibition in Jakarta that Indonesia would not be able to export electricity in the near future because it still needed the power. He also warned sovereign investment agency Danantara against yielding to lobbying over export decisions, saying permits are issued by his ministry, not Danantara.
The comments come as the two countries work to implement a bilateral energy initiative announced in June 2025, when Bahlil and Tan See Leng, then Singapore's Minister-in-charge of Energy and Science and Technology, signed three memorandums of understanding in Jakarta. They covered cross-border electricity trade, carbon capture and storage, and a sustainable industrial zone in Indonesia's Riau Islands.
At the Singapore-Indonesia Leaders' Retreat in July 2026, Prime Minister Lawrence Wong and President Prabowo Subianto reaffirmed their commitment to accelerating cross-border electricity trade, with Danantara designated by Jakarta to spearhead the initiative. The two leaders also witnessed the exchange of agreements covering electricity offtake and transmission infrastructure, alongside a road map for cross-border electricity trade.
Singapore's Energy Market Authority had earlier granted conditional licences for 2GW of electricity imports from Indonesia and conditional approvals for another 1.4GW, bringing total planned capacity to 3.4GW. The proposed trade would help Singapore reduce its reliance on fossil fuels while attracting investment in renewable generation and supporting infrastructure in Indonesia.
In May 2026, Bahlil said Indonesia remained open to supplying electricity to Singapore but stressed that terms must be mutually beneficial. During a visit to Jakarta on October 28, Singapore Foreign Minister Vivian Balakrishnan said governments have a responsibility to secure essential supplies including energy, but said meeting domestic needs and pursuing cross-border cooperation were not mutually exclusive.