Indonesia Says Domestic Power Needs Take Precedence Over Export Plans

Indonesia is unlikely to export electricity in the near term, as the government focuses on meeting strong domestic demand, Coordinating Minister for Downstreaming and Energy Transition Bahlil Lahadalia said on Monday at the Presidential Palace in Jakarta. > "As long as the price is right and they agree to our price, then of course it's possible. But if the price is not right, we will prioritise domestic needs," Lahadalia said, adding that any export deal must be mutually beneficial.

Lahadalia reiterated remarks made earlier at the 2026 Mineral and Coal Convention and Exhibition, stating that Indonesia "will not be able to export electricity in the near future. We still need electricity." He emphasized that the ministry, not the sovereign wealth fund Danantara, controls export permits and warned against foreign lobbying to lower prices, citing national sovereignty as a priority.

The comments come after Indonesia reduced natural gas shipments to Singapore to secure more fuel for its own power plants. The upstream regulator SKK Migas said the cut was intended to safeguard domestic gas supplies for electricity generation. About 31 million standard cubic feet of gas per day were redirected from Natuna and Sumatra pipelines to meet electricity needs in Batam, Bintan and Sumatra.

Singapore's Ministry of Energy, Trade and Industry confirmed that its gas importer, Gas Supply Private Limited, will review the reductions for compliance with existing contracts. The ministry welcomed Indonesia's assurance that contractual obligations will be honoured.

Lahadalia also noted that Indonesia's LNG exports to Singapore have not breached contractual limits, with only an 8 percent reduction, well below the 10 percent threshold that would constitute a breach. He suggested some LNG may be re-exported by Singapore-based firms, a claim the Jakarta Globe said lacked supporting evidence.