Antara, Jakarta – Indonesia's Coordinating Minister for Economic Affairs Airlangga Hartarto said a recent report by JPMorgan Asset Management, which ranks Indonesia among the countries most resilient to global energy shocks, reflects the strength of the country's energy security.

The latest Eye on the Market report titled "Pandora's Bog: The Global Energy Shock of 2026," released on March 21, 2026, places Indonesia as the second most resilient country to global energy volatility.

Speaking in Jakarta on Friday, Airlangga said the findings affirm the government's consistent policy direction in strengthening energy resilience amid geopolitical tensions and fluctuating global energy prices.

"This result is not merely recognition of current conditions, but a validation of the government's long-term policy choices in maintaining a balance between utilizing domestic energy resources and accelerating the energy transition," he said.

Amid global energy price volatility, the ranking could provide Indonesia with more room to manage fiscal pressures in the 2026 state budget, while helping to cushion the impact on household purchasing power and business activity.

He added that the result does not eliminate existing risks, noting that the government will continue to review and adjust its policies in response to evolving global conditions.

These include efforts to boost domestic oil and gas production to reduce the energy trade deficit and support state revenue, alongside ongoing plans to expand renewable energy development under national electricity planning frameworks.

Indonesia is also pursuing broader adoption of electric vehicles and seeking to diversify energy supply sources and logistics routes to mitigate potential geopolitical disruptions.

Airlangga said the government will continue coordinating energy and fiscal policies, with the aim of maintaining stability while supporting economic activity.

The JPMorgan report analyzed 52 countries representing around 82 percent of global energy consumption, using a "total insulation factor" indicator – a composite measure of domestic energy production, including gas, coal, nuclear, and renewables, as a share of final energy consumption.

Indonesia recorded an insulation factor of 77 percent, slightly below South Africa at 79 percent, and above China at 76 percent and the United States at 70 percent.

The country's resilience is largely supported by strong domestic coal production, which accounts for around 48 percent of final energy consumption, followed by natural gas at 22 percent and renewable energy at about 7 percent.

The report groups Indonesia with countries such as China, India, South Africa, Vietnam, and the Philippines as benefiting significantly from domestic coal production during periods of energy shocks.

It also notes that Indonesia has very low direct exposure to vulnerable global energy supply routes.

Imports of oil and gas via the Strait of Hormuz account for only around 1 percent of Indonesia's total primary energy consumption – far lower than South Korea at 33 percent, Taiwan and Thailand at 27 percent, and Singapore at 26 percent.

In contrast, advanced economies like Italy, Japan, South Korea, Singapore, and the Netherlands are deemed highly vulnerable because of their significant reliance on energy imports.

Source: https://en.tempo.co/read/2100202/jp-morgan-indonesia-ranks-second-in-global-energy-resilienc