Indonesia Tops List of Most Expansive Coal Mining Countries in Southeast Asia

Mon 04 Aug 2025, 13:23 PM

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Indonesia Tops List of Most Expansive Coal Mining Countries in Southeast Asia
Image Source: Doc. Dunia Energi

Indonesia is listed as a leader in coal mining capacity expansion in Southeast Asia, with 31 million tons per year (Mtpa) of projects under development. Furthermore, of the approximately 135 million tons of coal mining capacity planned in 12 Asian countries—excluding China—Indonesia and Pakistan contribute more than half. Expanded coal mining has the potential to increase methane greenhouse gas emissions and exacerbate the climate crisis.

These findings were published in the latest Global Energy Monitor (GEM) report, "Still digging 2025: Tracking global coal mine proposals." Of the 31 million tons of coal mine proposals in Indonesia per year, 15 million tons are under construction and 16 million tons are in planning. Approximately 94% of these new mining projects produce thermal coal to meet domestic power generation and export markets.

However, it's also been noted that more than 40 new projects in Indonesia are still in their very early stages without clear capacity data. Furthermore, the government is currently aggressively exploring domestic metallurgical coal (coking coal) reserves to reduce reliance on imports from Russia, Australia, and China. Yet, this coal mining expansion poses risks for Indonesia.

"With China and India absorbing nearly two-thirds of Indonesia's coal exports by 2023, the sector faces economic risks and the threat of becoming a stranded asset. This was evident in early 2025, when Indonesian coal exports plummeted to a three-year low, driven by rising domestic production in both countries," said Dorothy Mei, Project Manager of GEM's Global Coal Mine Tracker, in a statement on Monday (August 4).

Meanwhile, there are 2.27 billion tons of coal projects under various stages of development in 30 countries worldwide. Globally, Indonesia ranks eighth in terms of proposed additional coal mining capacity, while China leads by a significant margin with 1.35 billion tons of additional capacity.

If all these new mining proposals are realized, an estimated 15.7 million tons of methane will be released into the air annually, equivalent to 1.3 billion tons of CO₂e, exceeding Japan's total annual emissions by 2022. As a result, global greenhouse gas emissions will skyrocket to 6 billion tons of CO₂e, equivalent to the emissions of the United States as the world's second-largest pollutant.

In fact, of the 30 countries with new coal mining projects under development, 21 are signatories to the Global Methane Pledge—including Indonesia. However, only a few have submitted concrete methane mitigation plans.

"If these countries are truly committed to their climate targets, the solution is not to continue developing coal mines with unclear mitigation measures, but to halt new projects entirely. The most effective strategy is clear: leave the coal in the ground," said Tiffany Means, Senior Researcher at GEM.

Wicaksono Gitawan, Policy Strategist at CERAH, stated that Indonesia's actions to encourage coal mining expansion are inconsistent with the energy transition targets and climate commitments under the Paris Agreement. Furthermore, President Prabowo Subianto stated that Indonesia is ready to use 100% renewable energy within the next 10 years during his visit to Brazil last month.

"Rather than expanding coal production, the government should start seriously preparing policies and concrete steps to massively increase renewable energy capacity and stop excessive coal use," Wicaksono explained.

Source: https://www.dunia-energi.com/indonesia-urutan-teratas-negara-paling-ekspansif-tambang-batu-bara-di-asia-tenggara/

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