Axial Law
Client AlertOctober 8, 2024· 8 min read

Navigating M&A in the Post-Pandemic Energy Sector

Key trends and legal hurdles in the consolidation of renewable energy assets across the archipelago.

Sari Kusuma

Senior Partner, Corporate & Energy

The New Energy Landscape

Indonesia's energy sector is undergoing its most significant transformation in decades. The government's commitment to net-zero emissions by 2060 has catalyzed a wave of consolidation in the renewable energy space.

Key M&A Trends

  • Foreign Investment Surge: International renewable energy developers are actively acquiring local project pipelines
  • Asset Divestment: Traditional energy companies are spinning off renewable portfolios
  • Joint Ventures: Increasing use of JV structures to navigate local content requirements
The most successful deals in this cycle share one common thread: early engagement with local regulatory stakeholders.

Regulatory Considerations

Several regulatory changes have reshaped the M&A landscape for energy transactions, including revised local content requirements and new environmental compliance obligations under the Omnibus Law framework.

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