Investors’ Drives for Clean Energy and Impact Investment as part of Climate Solutions

Copyright ANGIN and New Energy Nexus © 2022

As we want to provide solutions through our think thank project based on deep dive analysis within the impact investment scope, we INTRA by ANGIN, collaborating with New Energy Nexus, and some respondent stakeholders create a deep dive report, discussing what drives investors to invest in clean energy and utilizing impact investment as part of climate solutions.

This deep dive report aims to answer questions on the willingness of investors (i.e., impact investors and venture capitalists) to invest in Indonesia’s clean energy sector, what motivates them, and the most promising areas to invest in. Clean energy term is preferred over renewable energy for the focus of the paper as it encompasses all zero-carbon energy sources and is deemed more relevant to Indonesia’s net-zero strategy. 

This paper utilized a systematic literature review with the support of primary data collected through in-depth interviews with five different investors with distinguishable categories and areas of interest to acquire a broader perspective on the clean energy investment sector in Indonesia. Additional insights were gathered from an internal Fireside Chat event held by New Energy Nexus Indonesia. The timeframe of the data collection was between April to May 2022. 

The results of the conducted interview indicated that all five correspondents agree that Indonesia is currently experiencing an uprising trend on impact investment. However, specifically on clean energy investment, four of them stated it is still less developed in terms of the market and implementation.

There are three main drivers to invest in the sector are concluded in this report, namely:

(i) to support communities’ livelihood and avoid the impacts of climate change
(ii) the clean energy sector showed an encouraging trend in economic value, and
(iii) the sector is promising to invest in, viewed from the country’s abundant resources and energy demand 

To get more insight about what drives investor to invest in clean energy and using impact investment as part of climate solutions, please download the report now in the button below:

Deep Dive Report:
Investors’ Drives for Clean Energy and Impact Investment as part of Climate Solutions