Cities in the Lead: Accelerating Energy Efficiency in Indonesia's Buildings - Paris - Global Buildings Performance Network

Description

GBPN Indonesia's new project with UK Partnering for Accelerated Climate Transitions (UK PACT) empowers municipal governments and local stakeholders to implement energy efficiency in buildings.

Energy efficiency in buildings is not just a climate imperative. It is a massive economic opportunity.

A 2018 analysis by the International Finance Corporation estimated that green buildings account for 80% of the $29.4 trillion climate investment potential across six urban sectors in emerging market cities by 2030 including Jakarta. In Indonesia, green building measures can potentially cut energy use by more than 50% in both new and existing structures, saving households and businesses money while improving indoor air quality, comfort, and resilience.

This is the rationale behind BERSAMA – Building Towards Sustainable Energy Investment in Municipalities – a project led by GBPN Indonesia and supported by UK Partnering for Accelerated Climate Transitions (UK PACT). UK PACT is a flagship programme under the UK's International Climate Finance (ICF) portfolio that supports partner countries to implement and increase their ambitions for carbon emissions reductions in line with their Nationally Determined Contributions (NDCs). Through BERSAMA, GBPN supports municipal governments and local stakeholders to implement energy conservation and energy efficiency in buildings.

Under the BERSAMA project, GBPN will collaborate with cities on three main areas:

• Municipal energy efficiency roadmaps – GBPN will support municipalities in developing practical, locally tailored roadmaps with one province and two cities, complete with clear implementation strategies and actionable steps that reflect each pilot context and priorities.
• Energy management in buildings – The project will train and certify energy managers, document best practices, and build strong business cases for net zero emissions buildings.
• Low-carbon transport infrastructure – GBPN will support the Ministry of Transport in developing technical guidelines and increasing capacity of stakeholders to integrate energy efficiency in transport-related buildings and infrastructure and align transport planning with national low-carbon development goals.

Rising emissions from Indonesia's buildings

Buildings account for 60% of Indonesia's electricity use and about a third of all greenhouse gas emissions from the energy sector. Electricity use in buildings has surged, driven by rapid urban growth and rising living standards. Without serious intervention, emissions from the building sector could more than double by 2050.

Decarbonizing Indonesia's buildings is critical to meeting the country's Enhanced Nationally Determined Contributions (NDC), which commit to cutting 358 million tons of CO₂ from the energy sector. And this shift aligns closely with the government's agenda - especially the goal of energy self-sufficiency.

Cities take the lead in energy-efficient buildings

In July 2025, GBPN hosted three workshops with the provincial government of Jakarta and the city governments of Bandung and Semarang, identifying where support would be most valuable in achieving energy efficiency.

These early discussions provided a clearer picture of what each municipality needs and where GBPN can provide the most value.

In Jakarta, the focus was on making sure local policies align with national ones – especially around energy and water-saving rules for buildings. Jakarta also sought to build stronger systems to track progress and improve capacity.

In Bandung, officials were eager to launch pilot projects of energy conservation in government buildings and strengthen their roadmap for reducing emissions. They also highlighted the need for clear guidance, standard procedures, and better coordination between the city and provincial government.

In Semarang, the city is working on its energy-saving roadmap as part of a bigger strategy to cut emissions. Key priorities include setting a baseline for energy use at the city level, raising awareness on energy conservation, and increasing stakeholders' capacity to support the roadmap implementation.

Yeni Indra, Senior Manager, GBPN Indonesia said that with this project GBPN continues to support Indonesia's building sector transformation.

Our past projects show that energy conservation in buildings in Balikpapan and South Tangerang cities are projected to reduce 610,000 metric tons of carbon emissions and save over $70 million in electricity costs by 2030. That is real impact for the climate, for municipal budgets, and for local communities, said Puri Mahestyanti, project manager for the BERSAMA.

Puri Mahestyanti added, "This kind of support is what turns high-level targets into tangible progress."

"But scaling up requires more than good policy. It needs sustained investment, capacity building, and coordination across ministries, local governments, utilities, and civil society. Together, we are working to ensure that energy efficiency becomes a core part of Indonesia's urban development story."

"Every building with energy conservation measures, every trained energy manager, every policy implemented at the local level gets us closer to a low-carbon, healthy, affordable, and climate-resilient living environment."

This project is funded by UK Partnering for Accelerated Climate Transitions (UK PACT). UK PACT supports countries that strive to overcome barriers to clean growth and have high emissions reduction potential to accelerate their climate change mitigation efforts.

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