23 September 2025
Climate Smart Ventures and Mahardika Energy Partners Sign MoU to Advance Indonesia’s Energy Transition and Progress Toward Net-Zero
Climate Smart Ventures and Mahardika Energy Partners Sign MoU to Advance Indonesia’s Energy Transition and Progress Toward Net-Zero
Yusuf Utomo, Senior Associate
Evano Djatmiko, Associate
Ruth Reyes, Marketing Associate
Jakarta, Indonesia – 23 September 2025 – Climate Smart Ventures (CSV) and Mahardika Energy Partners have signed a Memorandum of Understanding (MoU) to deepen their collaboration on advancing Indonesia’s energy transition and supporting the country’s 2060 net-zero target. Mahardika Energy Partners is a Jakarta-based strategic advisory firm specializing in project development and financing for energy and infrastructure. Its expertise includes industrial decarbonization, renewable energy, and innovative financing structures, helping both public and private entities implement sustainable, transition-focused strategies.
As one of Southeast Asia’s most resource-rich countries, Indonesia has laid out ambitious plans in its Electricity Supply Business Plan (RUPTL) 2025–2034, the greenest RUPTL ever published, to shift its national electricity strategy toward renewables. The country aims to install about 69.5 gigawatts (GW) of new power generation capacity by 2034, with about 76% from clean energy, such as solar, hydro, wind, geothermal, bioenergy, waste, nuclear, and supported by energy storage systems.¹ While large-scale, grid connected plants remain a top priority, CSV and Mahardika view alternative potential from the privately owned power plants as a quick win to accelerate renewable adoption and move the country faster to its net-zero goals.
Industrial decarbonization is also at the core of Indonesia’s long-term energy strategy.² With industries like steel, cement, textiles, and nickel driving economic growth, and accounting for significant emissions, reducing their carbon emissions is critical to meeting the country’s climate commitments while keeping its industries globally competitive.
CSV and Mahardika have been collaborating since early 2024 to advance Indonesia’s energy transition, highlighted by the launch of a decarbonization project with a leading nickel company. Building on this milestone, the new partnership combines Mahardika’s deep network, understanding of local energy policy, and technical expertise with CSV’s track record in designing viable decarbonization pathways and delivering transaction advisory services across Asia and global markets. By combining CSV’s advisory strength with Mahardika’s on-the-ground insights and ability to navigate Indonesia’s industrial landscape, the collaboration will accelerate practical, industry-led decarbonization solutions.
Under the MoU, CSV and Mahardika will collaborate through knowledge exchange, joint research, and stakeholder partnerships to prototype transition pathways leveraging innovative technologies and financing. The collaboration will focus on:
- Industrial Decarbonization
Heavy-emitting sectors such as steel, cement, textiles, and nickel face increasing pressure to decarbonize and remain competitive under global carbon regulations. Through the MoU, CSV and Mahardika will develop standardized strategic approaches, involving fostering industry knowledge-sharing, positioning current industrial decarbonization leaders as champions to drive momentum, and exploring innovative solutions to create regulatory compliant, technically viable and financially bankable pathways. Industrial decarbonization represents a near-term opportunity for Indonesia to cut emissions while navigating uncertainties in the utility sector. - Renewable Energy Technical Assistance and Financing
Despite Indonesia’s vast solar, hydro, and geothermal potential, coal continues to dominate the national grid. Expanding renewable energy offers industries a pathway to lower long-term costs while reducing carbon intensity. Under the MoU, CSV and Mahardika will provide technical assistance and financing advisory for renewable projects, including feasibility studies, transaction structuring, and investor engagement, to unlock scalable and cost-effective clean energy solutions. - Testing the Potential of Coal-to-Biomass Projects
Building on Indonesia’s agricultural base as well as some ongoing efforts to leverage biomass for the country’s transition, the partnership will seek to unpack the potential of coal-to-biomass technologies and understand the scalability of producing coal-like biomass pellets domestically for industrial heat and power generation use. CSV and Mahardika will work to map out supply-demand analysis, biomass supply chain and financing models, and work with select industry players in developing suitable pilots to demonstrate the potential viability of this decarbonization approach. - Mobilizing Capital under the Asia Energy Transition Platform (AETP)
CSV’s affiliate fund, AETP, focuses on scaling next-generation distributed renewable energy and storage projects across Southeast Asia. Through this platform, CSV and Mahardika will mobilize capital for distributed renewable energy projects such as rooftop solar, small hydro, and community-scale solutions, building on AETP’s current operations in the Philippines and planned expansion into Indonesia. By targeting strong commercial returns alongside measurable sustainability impacts—including CO₂ emissions reduction, lower energy costs, and job creation—the platform supports energy independence while expanding access in underserved regions.
“We’re excited to deepen our partnership with Mahardika to advance fit-for-purpose decarbonization and renewable energy adoption in Indonesia. Our shared focus is clear: translating sustainability ambitions into a technical and commercial reality. With renewable energy gaining momentum, significant opportunities exist for companies to secure an early lead,” said Lawrence Ang, Project Lead and Managing Partner at CSV.
Arthur Simatupang, Director at Mahardika Energy Partners, added: “We are pleased to collaborate with CSV in advancing industrial decarbonization strategies and renewable energy adoption in Indonesia. This collaboration is designed to help turn Indonesia’s net-zero ambitions into reality, through feasible, concrete, and bankable projects. By combining Mahardika’s extensive local networks and deep technical expertise with CSV’s international financing and transaction advisory experience, we aim to deliver transformative energy solutions.”
This collaboration signifies the shared commitment of CSV and Mahardika to accelerate the energy transition and support Indonesia’s net-zero goals, while contributing to broader decarbonization efforts across Southeast Asia.
Footnotes:
¹ Full Summary of Indonesia’s RUPTL 2025–2034: Renewable Energy as the New National Energy Direction, Sun Energy, May 28, 2025, https://sunenergy.id/full-summary-of-indonesias-ruptl-20252034
² Indonesian Government Prepares Roadmap for Clean Net-Zero Industry by 2050, Institute for Essential Services Reform, August 26, 2025, https://iesr.or.id/en/indonesian-government-prepares-roadmap-for-clean-net-zero-industry-by-2050/
About Climate Smart Ventures
Climate Smart Ventures (CSV) is an advisory firm advancing the energy transition in Asia. Our expertise and projects span coal to clean utility-level energy transition, industrial decarbonization, grid transformation, transition finance, and government-level policy recommendations. We also provide ESG and sustainability advisory services, focused on decarbonization and management of environmental and social impacts. Ecosystem building and collaboration are key elements of our firm, which partners closely with the region’s leading corporates and power portfolio owners, investors, off-takers, and others. For more information, visit our website https://climatesmartventures.com.
About Mahardika Energy Partners
Mahardika Energy Partners is a strategic and niche consulting firm specialized in providing strategic advisory and assistance for project development in the energy and infrastructure sectors. They understand that a solid business strategy and strategic management of various stakeholders, including the government, are imperative to the energy and infrastructure businesses. Their team of experts has extensive knowledge and network in the energy and infrastructure sectors, with more than 50 years of combined experience. They understand the challenges, opportunities, and key success factors of the energy and infrastructure business at different stages of the business cycle. With this background, they will support clients in identifying and prioritizing their needs as well as providing the necessary advisory and assistance to address them. For more information, visit https://mahardika.asia/.
Media Contact:
Ruth Giselle Reyes
Marketing Associate
ruth@climatesmartventures.com