China Continues Coal Investments in Indonesia, Defying 2021 Pledge

Despite China's 2021 pledge to cease financing overseas coal projects, Chinese firms continue to build new coal-fired power plants abroad, particularly in Indonesia, mainly for use in nickel smelting. Reports from Global Energy Monitor indicate that 7.7 gigawatts of new coal capacity are under construction in Indonesia, with Chinese state-owned enterprises financing or constructing the majority of these projects. While renewable energy sources now comprise over half of the electricity mix in some BRICS countries like Brazil, India, and China, newer BRICS members such as Indonesia remain heavily reliant on fossil fuels, often due to Chinese-backed investments. This trend raises concerns among experts that continued investment in coal could lock developing economies into high-carbon energy pathways, undermining global climate goals. The issue is set to be a priority topic at upcoming BRICS and international climate meetings. Overall, China's actions highlight the tension between global decarbonization commitments and ongoing support for fossil fuel expansion in emerging markets.