Luhut Pandjaitan Emphasizes Role of Global Blended Finance Alliance in Transformative Change

Bali, INTI - Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, highlighted the importance of the Global Blended Finance Alliance (GBFA) as a foundation for transformative change and future knowledge during the G20 Bali GBFA Dialogue on Natural Capital, Communities, and Climate Action. The event was held at the UID Bali Campus on Sunday, May 19, 2024.

Minister Luhut emphasized that the GBFA aims to accelerate value creation and investment in key economic sectors such as energy, forests, blue economy—including mangroves and seagrass—health infrastructure, and sustainable tourism, through initiatives like the Just Energy Transition Partnership (JETP).

Just Energy Transition Partnership

"The world's eyes are on Indonesia, and we must set an example of a successful, just energy transition that balances economic development, social justice, and environmental management," Minister Luhut stated. He expressed his support for the launch of the Happy Energy Action Leadership (HEAL) program in collaboration with the United in Diversity Foundation and the Rocky Mountain Institute, which emerged as a result of the GBFA to enhance capacity building.

Strong Stakeholder Alignment

"Initiatives like JETP require robust stakeholder alignment, not only on technical aspects but also relational, to join HEAL. This allows us to seize this opportunity to learn together in addressing our challenges," Minister Luhut added.

The Indonesian government is collectively working to identify innovative solutions and multi-faceted approaches to meet funding needs and policy requirements, ensuring a holistic and fair transition. "GBFA is not just a solution for energy transition, but Indonesia is also leading in forests and mangroves as part of Nature-Based Solutions for climate action," Minister Luhut concluded.

Leading by Example

As Indonesia takes a leading role in various climate and sustainability initiatives, the GBFA provides a critical platform for driving transformative change. The collaboration through HEAL and other programs aims to create a balanced approach that integrates economic growth, social equity, and environmental stewardship.

The dialogue at the UID Bali Campus underscored the necessity of international cooperation and local stakeholder engagement to achieve these ambitious goals. By leveraging innovative financial solutions and fostering global partnerships, Indonesia aims to set a benchmark for successful and equitable energy transitions.