Opening Remarks at G20 Energy Transition Event

OPENING REMARKS TO THE G20?UNLOCKING INNOVATIVE FINANCING SCHEMES AND ISLAMIC FINANCE TO ACCELERATE A JUST ENERGY TRANSITION IN EMERGING ECONOMIES?SEMINAR SERIES?

(Speech is viewable here?at minute 28)

SELAMAT SIANG

ON BEHALF OF THE ORGANISERS, WE ARE HONOURED BY THE PARTICIPATION OF HIS EXCELLENCY VICE PRESIDENT MA’RUF AMIN, HER EXCELLENCY MINISTER OF FINANCE SRI MULYANI INDRAWATI, HIS EXCELLENCY MINISTER OF ENERGY AND MINERAL RESOURCES ARIFIN TASRIF, HIS EXCELLENCY CHAIRMAN OF THE BOARD OF THE FINANCIAL SERVICE AUTHORITY MAHENDRA SIREGAR, PROFESSOR BAMBANG BRODJONEGORO, PAK YUDO PRIAADI. I WELCOME ALL SPEAKERS AND PARTICIPANTS, ONLINE AND IN THE ROOM.

THIS OFFICIAL G20 EVENT IS A REMINDER THAT CLOSE, INTELLIGENT COOPERATION IS THE KEY TO ACCELERATING THE ENERGY TRANSITION ACROSS ALL ECONOMIES WHILE MEETING DEVELOPMENT GOALS AND ENSURING THE PROSPERITY OF ALL NATIONS.

THE OPPORTUNITY THIS GATHERING REPRESENTS IS ENORMOUS; THE PRIZE ON OFFER IS INVALUABLE AND THE CONSEQUENCES OF FAILURE TOO GRAVE TO CONTEMPLATE.

ENERGY TRANSITIONS CAN CREATE ENORMOUS ECONOMIC, ENVIRONMENTAL AND SOCIAL BENEFITS ACROSS ALL ECONOMIES.

PRIVATE AND PUBLIC SECTOR INVESTMENTS MUST BE STRATEGICALLY ALIGNED SO EACH AMPLIFIES THE OTHER.

POLICY SETTINGS, BOTH WITHIN AND BETWEEN NATIONS, MUST DELIVER CLEAR SIGNALS THAT PROVIDE CONFIDENCE AND STABILITY TO INVESTORS AND BUSINESS.

ABOVE ALL, WE MUST BE WILLING TO EMBRACE CHANGE IN A WAY THAT PROTECTS THE WELLBEING OF THOSE MOST AFFECTED BY TRANSITION.

OUR EVENT TODAY WILL EXPLORE HOW TO FINANCE RENEWABLE GENERATION AND THE INFRASTRUCTURE THAT SUPPORTS IT IN EMERGING ECONOMIES. IT WILL EXAMINE HOW ECONOMIES LIKE INDONESIA CAN FINANCE TRANSITION AND HOW DEVELOPED NATIONS CAN ENCOURAGE THE FLOW OF PRIVATE CAPITAL.

SPEAKING AS AN AUSTRALIAN, I KNOW THERE ARE MANY CHALLENGES AND OPPORTUNITIES THAT WE SHARE WITH INDONESIA IN PURSUING THE CLEAN ENERGY TRANSITION. BETTER, STRONGER, AND MORE INNOVATIVE REGIONAL COOPERATION IS URGENTLY NEEDED AS EACH ENERGY TRANSITION IS UNIQUE.

AUSTRALIA AND INDONESIA ARE THE WORLD’S TWO LARGEST COAL EXPORTERS. AS OUR EXPORT MARKETS INEVITABLY SHIFT TO CLEAN ALTERNATIVES, BE IT SOLAR, WIND OR OTHER RENEWABLES, BOTH NATIONS WILL NEED TO SEIZE THE OPPORTUNITIES OF THE NET ZERO ECONOMY AND PRODUCE THE ENERGY, MINERALS AND OTHER GREEN PRODUCTS OUR CUSTOMERS WILL DEMAND.

IF AUSTRALIA AND INDONESIA CAN DECARBONISE, ANY NATION CAN.

AUSTRALIA AND INDONESIA BOTH FACE SOCIAL, FINANCIAL AND POLITICAL CHALLENGES IN THIS TRANSITION.

SIGNIFICANT COMMUNITIES AND INDUSTRIES HAVE COALESCED AROUND LEGACY ENERGY, AND WE MUST MAKE SURE THEY LEAD THE PACK FOR OPPORTUNITIES, PROJECTS AND INVESTMENTS IN CLEAN INDUSTRIES.

THERE ARE SIGNIFICANT TRADE OPPORTUNITIES BETWEEN THE TWO NATIONS ACROSS GREEN AND SUSTAINABLE INDUSTRIES, FOR EXAMPLE THE SUN CABLE PROPOSAL.

AUSTRALIA WILL NEED MANY OF THE RESOURCES AND MANUFACTURING INDONESIA HAS TO HELP ACCELERATE OUR TRANSITION.

IN MANY WAYS, WE EACH HOLD THE KEY TO THE OTHER’S SUCCESS.

THE CLOSER TIES BETWEEN OUR NATIONS REPRESENTED BY OUR TRADE LINKS, OUR DIPLOMATIC EFFORTS AND OUR INDUSTRIAL TRANSFORMATIONS, CAN SEE US BE MORE COLLABORATIVE PARTNERS IN DRIVING DECARBONISATION ACROSS OUR REGION.

THE RECENTLY ANNOUNCED AUSTRALIAN/INDONESIAN $200 MILLION CLIMATE AND INFRASTRUCTURE PARTNERSHIP IS A STEP IN THIS DIRECTION.

A CLEAR ASSESSMENT OF OUR SHARED TRANSITION SHOWS THAT GOVERNMENTS CANNOT DO IT ALONE. PRIVATE FINANCE WILL BE NEEDED TO DRIVE THE TRANSITION.

ULTIMATELY THE LAST FIVE YEARS HAS SEEN A MARKED SHIFT AMONG INSTITUTIONAL INVESTORS, WHO INCREASINGLY RECOGNISE THE FINANCIAL RISKS ASSOCIATED WITH CLIMATE CHANGE AND ARE TILTING THEIR INVESTMENTS GREEN.

SIMILARLY SOVEREIGN EXPORT FINANCE AGENCIES ARE INCREASINGLY WITHDRAWING FROM COAL PROJECTS DUE TO OUR COMMON CLIMATE COMMITMENTS.

COUNTRIES WHO WANT TO BE IN THE RACE FOR GLOBAL CAPITAL WILL NEED CREATE NEW INVESTMENT OPPORTUNITIES CONSISTENT WITH MEETING OUR PARIS AGREEMENT GOALS.

IN THE LEAD-UP TO THE G20 LEADERS’ SUMMIT, AND FOLLOWING ON FROM THE RECENT SYDNEY ENERGY FORUM, WE HAVE A POWERFUL OPPORTUNITY TO CALL FOR SUCH ACTION.

OUR FIRST PANEL WILL DISCUSS HOW INNOVATIVE PUBLIC FINANCING CAN HELP WITH ENERGY TRANSITION AND FACILITATE THE FLOW OF GREATER CAPITAL.

OUR SECOND PANEL WILL DISCUSS HOW PRIVATE FINANCE CAN HELP ACHIEVE NET ZERO EMISSIONS AND LOOK AT THE CONDITIONS INSTITUTIONAL INVESTORS NEED TO DEPLOY CAPITAL.

AND OUR LAST PANEL EXPLORES HOW WE CAN HELP LOCAL ECONOMIES MOST AFFECTED BY ENERGY TRANSITION TO SEIZE NEW OPPORTUNITIES AND FLOURISH.

FROM FINANCE AND INVESTMENT CONDITIONS TO THE CALCULATION OF SOCIAL COSTS, THE CATALYSTS FOR TRANSFORMATIVE CHANGE ARE PARTICIPATING TODAY.

CPD, IN COLLABORATION WITH CLIMATEWORKS AND OTHER PARTNERS, COMMITS TO ENSURING THIS EVENT IS NOT JUST A ONE-OFF – BUT RATHER IS THE START OF ONGOING DIALOGUE ESPECIALLY BETWEEN AUSTRALIA AND INDONESIA, THAT EXTENDS BEYOND THIS YEAR’S INDONESIAN PRESIDENCY OF THE G20, INTO AND BEYOND NEXT YEAR’S INDONESIAN CHAIRING OF ASEAN, TO HELP SUPPORT AN EFFECTIVE ENERGY TRANSITION IN OUR REGION.

THANK YOU