East Kalimantan is taking a bold step forward. As one of Indonesia’s most coal-dependent regions, the province is now positioning itself as a pioneer of green economic transformation.
On 11 September 2025, the Governor of East Kalimantan welcomed the Kementerian Perencanaan Pembangunan Nasional Republik Indonesia/Bappenas RI and the German Government’s development cooperation team, implemented by GIZ Indonesia/ASEAN, to discuss ongoing collaboration. This partnership is designed not only to shift the economy away from coal but also to ensure that no one is left behind in the process.
Currently, coal contributes 34.2% of GRDP, 62% of regional revenue, and 9% of jobs in East Kalimantan. Yet, global coal demand is expected to decline significantly by 2035. Without transformation, the province’s budget and employment are at risk.
The solution? Green skills and just transition.
- Developing a workforce equipped with green skills to adapt, innovate, and compete in the green economy.
- Supporting MSMEs, particularly women-led enterprises, to participate in new opportunities.
- Encouraging investments in future industries such as green ammonia, electric vehicle assembly, bio-aviation fuel, and solar panels.
- Strengthening policies, institutions, and evidence-based planning tools for long-term sustainability.
As East Kalimantan Governor, Rudy Mas’ud, highlighted:
“This transformation is not just about moving away from coal but creating a just pathway for all communities, ensuring people have the skills to innovate and actively take part in the new economy.”
This inclusive approach is being carried forward through the Regional Consultation Forum (FKD), which brings together businesses, academia, labor unions, and civil society. The FKD is not only producing strategy documents but also building long-term collaboration mechanisms to monitor and implement the province’s transformation.
The journey is supported by Germany through GIZ projects such as IKI-JET, Green Economy Recovery, Green Jobs for Social Inclusion and Sustainable Transformation and the upcoming FANTASTIC program. Together, they provide the policy, institutional, and technical backbone for transformation.
🌍 East Kalimantan is now positioning itself as an international example of how coal-producing regions can pursue inclusive green transformation. This will be showcased to the world in October 2025 at the Indonesia Sustainable Energy Week (ISEW) and the International Capacity Development Program (ICDP) in Samarinda.
The path is not easy, but the direction is clear: a resilient, inclusive, and sustainable economy for the people of East Kalimantan.
