Drawing Insights from Japans Energy Efficiency Policies for Indonesias Progress

As archipelagic countries, Japan and Indonesias electricity transmission and
distribution infrastructures are island-specific. They have limited network areas and
face similar risks caused by climate change. Energy conservation through technical
approaches to improve energy efficiency is effective in combating climate change
and generates more significant economic benefits. This study examines the
strategies demonstrated by Japan to improve its energy efficiency and identifies the
potential of adopting those strategies in Indonesia. This research includes an indepth

literature review and benchmarking approaches to the two countries
mitigation strategies. The study found that the Japanese approaches, such as the
prioritization of strict regulations, extensive use of innovative technology, and solid
industrial collaboration, can be adopted to improve energy efficiency in Indonesia.
We also identified several obstacles to adopting those approaches in Indonesia,
such as policy inconsistencies, limited financial incentives, and fragmented
governance. Adopting the Japanese approaches in Indonesia needs clear energy
labeling, more integrated energy management in large industries, appropriate
electricity pricing, and efficient energy service company (ESCO) schemes.