Sustainable Energy Transition in Indonesia: A Systematic Review of Challenges and Opportunities

Indonesia, the largest archipelagic country and one of the world’s top carbon emitters, faces significant challenges in transitioning from fossil fuel dependence to sustainable energy systems. Despite abundant renewable energy resources and ambitious national targets including net zero emissions by 2060, progress remains limited. This study employs a systematic literature review following PRISMA 2020 guidelines. A comprehensive search was conducted across Scopus, Springer, and ScienceDirect databases. After applying inclusion and exclusion criteria, 12 peer-reviewed articles published between 2021 and 2026 were selected for analysis. Data extraction, quality assessment using the Mixed Methods Appraisal Tool, and thematic synthesis were performed to identify key challenges, opportunities, policy influences, and stakeholder roles. Indonesia faces interconnected challenges including heavy coal dependence (over 60 percent of the energy mix), infrastructure limitations, regulatory fragmentation, financing constraints, and socio-economic vulnerabilities. However, significant opportunities exist, including abundant renewable energy potential (441.7 GW), international partnerships such as the Just Energy Transition Partnership, decentralized energy systems, and progressive policies. The review demonstrates that policies have dual effects, both perpetuating fossil fuel dependence and creating enabling conditions for renewable energy investment. Stakeholders across government, private sector, and civil society play complementary roles in advancing the transition. Indonesia possesses substantial renewable energy resources and growing political commitment. However, realizing net zero emissions by 2060 requires integrated policies that simultaneously address technical, regulatory, financial, and social dimensions. A just transition demands inclusive governance, transparent decision-making, and equitable distribution of benefits. With aligned policies, adequate financing, and strong stakeholder collaboration, Indonesia can achieve sustainable energy transition.