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One of the world’s biggest coal producers battles to keep lights on

  • Posted on August 9, 2026
  • By Financial Times
  • 1 Views
  • 1 min read
In brief

Indonesia faces a critical energy supply challenge as price controls implemented to protect domestic consumers have created unintended market distortions. Major coal producers are redirecting their output to international markets where prices remain significantly higher, leaving the nation struggling to maintain adequate electricity generation. This paradoxical situation demonstrates how well-intentioned price regulation can backfire, reducing domestic coal availability and threatening energy security in one of Asia's largest economies.

Summary auto-generated by AI from the original publisher's content. Editorial standards.

One of the world’s biggest coal producers battles to keep lights on
One of the world’s biggest coal producers battles to keep lights on

Indonesia’s attempt to contain prices at home has discouraged companies from supplying the local market
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Author
Financial Times

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