Research Report

The Cost of Early Coal Retirement in Indonesia: A Plant-Level Assessment

Hendra Wijaya & Farhan Maulana

2025CCSF Research ReportEnergy Transition

Abstract

This report models the cost of retiring 22 coal-fired units in Java ahead of contractual end-of-life, accounting for outstanding debt, take-or-pay obligations, decommissioning liabilities and replacement capacity. We find substantial heterogeneity in cost per tonne of avoided emissions across the fleet, implying that sequencing matters as much as aggregate funding.