Vedanta Resources gets $300 million loan commitment for debt refinancing
The company is looking to upsize the deal and is in advance discussions with other banks for additional loans of $200 million.
Indonesia’s coal production reached a new high in 2024 amid rising demand for energy both domestically and globally.
Last year’s output was at 831 million tons, according to preliminary data updated on Friday by the Ministry of Energy and Mineral Resources. That’s 17% higher than the government’s target for 2024. Sales also rose to their highest level, the data showed.
The Southeast Asian country is the world’s biggest exporter of the dirty fuel and relies on it for the majority of its power needs. President Prabowo Subianto has said Indonesia is planning to retire all its coal power plants by 2040.
Global coal consumption has doubled in the past three decades, though demand is set to plateau through 2027, according to the International Energy Agency. In most advanced economies, coal demand has already peaked and is expected to keep decreasing through 2027, the agency said in a December report.
As Indonesia’s coal production rises every year, achieving its target to phase it out by 2040 will be difficult in a nation where renewables roll-out has lagged behind neighbors. Output in other major producers, including China, has also risen to meet global demand, despite an urgent need for the world to turn to cleaner sources of energy.
(By Sing Yee Ong and Eko Listiyorini)
Read More: Coal demand to keep hitting records through 2027, IEA says
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