The world has been undergoing severe and rapid changesinvolving significant challenges. These changes include globalization,urbanization, technological innovation and fundamental shifts in economic andpolitical power, global environmental impacts, climate change and potentiallyexplosive social conflicts. It is where such changes have been net negativethat role of energy has come into focus. These negative changes encompass theconcerns related to water security, food shortages and climate change as wellas on the slower than expected performance of the SDGs.
Energy is inextricably linked to the solutions to thesechallenges - its adequate availability and sustainable use can provide apositive outcome for development and human well-being (e.g., water food,health, and other development challenges) or it could exacerbate the adversechanges that the world has been experiencing (e.g. climate change, airpollution, competitiveness, equity). The paradox of energy use is that it canat the same time alleviate or aggravate a challenge - energy is important fordelivering health service but also causes health problems; it is necessary fordelivering water and improving its quality but is also an important consume rand polluter of water. In most cases, if one was to drill down, energy aggravates the inequities in the world through the costs and benefits of its use. Hence, the need for a shifting paradigm in the management of energy using renewable energy based on Pro-Jobs, Pro-Growth, Pro-Poor and Pro-Environmental.
Pro-Job and Pro-Growth, answer the issue of the energy security
In line with the mechanism decentralized area development and authorities of the mechanism for regional autonomy the policy to local governments the right to spur investors to together fulfill the exertion energy(electricity) expected. The parties that participated in the determination of regional tariff consist of three components, namely manufacturers, consumer sand local governments. Patterns of regional rates based on enactment of bottom-up panning, a planning resulting from the community level, where the community is able to specify the resources that can be allocated to solve problems and decide on a plan and program implementation to achieve the purpose of solving the issue. In determining the policy of regional electricity base rate increase people should consider reasonable cost, allocable cost, in accord with standards, calculated consistently, accounted in accordance with the accounting principles in Indonesia, well documented and supported by adequate evidence. Thus, the determination of regional electricity rates create electric base rated on rules of healthy economy to expand investment in sectors of electricity in the region (decentralized).
Pro-Poor,answering affordability energy issues
For the suppliers of energy, such as electricity generation facilities, low prices are determined by the government that reduced the incentive to commit new capital investment. Therefore necessary enactment back  pattern of subsidies for consumers not capable of being directed to customers who are connected to the grid, while those who off the grid or who lived inremote areas with prioritize renewable energy that is available in itsterritory by applying a pattern of Universal Service Obligation (USO).
Implementation of directional subsidies starting with priceadjustment is the first step into rationalizing the prices in real. The priceof real equilibrium, what is meant is the point a meeting between supply anddemand. To withdraw gradually, electricity subsidy will appear goods pricesrising commodity speculation. But as compensation the price increase, thegovernment allocates funds results from the price increase that the publiccannot afford through cash assistance. While for remote areas using patterns ofuniversal service obligation (USO) with prioritize renewable energy, consistingof 3 phases of processing. 1) First phase, people in the region of USO in adrive to make use of renewable energy that is available in its territory foroperation or of daily use. 2) Both phases, people use of renewable energy thoseto add value of their activity, their expected will find innovative businessmodel supported resources local existing. 3) Lastly, the community already willcontribute towards the country.
Pro-environmental:answering climate change issues
Energy subsidies encourage excessive consumption and reduceincentives for efficient use of energy. The habit of consuming electricity fromfossil fuel power plant (coal & fuel) surely will result in greenhouse gasemissions, air pollution, and the depletion of natural resources. Thereforethrough the application of the initiative clean energy by reducing emissionsfrom burning fossil energy integrally Reducing Emission from Fossil Fuelburning (REFF-burn), relying on renewable energy. There are three steps in thereduction of greenhouse gas emissions, 1) Pre Fossil Combustion Technology,using more fossil fuels: energy/Energy Efficiency (EE) and Renewable Energy(RE), and Zero Carbon Power Generator (ZPG). ) During Fossil Combustion Stage,to reduce greenhouse gas emission: Clean Coal Technology (CCT), Clean OilTechnology (COT), Clean gas Technology (CGT), Clean Energy Utilization (CEU).3) Post Fossil Combustion Stage, to mitigate existing greenhouse gas emissions:Carbon Capture (CC), Carbon Storage (CS), and Carbon Utilization (CU). So that Indonesia involved in the ratification of Kyoto protocol and have made a number of steps to answer the issue of climate change.
Kyoto protocol, especially through a Clean Development Mechanism (CDM) provided enables developing countries like Indonesia to obtain benefit in the form of financial flows and technology from developed countries. Through cap and trade system capable of putting a price on carbon emissions, effectively supports renewable energy technologies by creating level and competitive play field for electricity generation.
Conclusion