Towards Energy Security and Sustainability in Indonesia: Exploring The Waqf-Based Potential




Energy Security, Indonesia, Renewable Energy, Waqf, SDGs


It is ironic to note that Indonesia remains a net importer of energy, which has been one of the basic needs of the Indonesians. As the efforts to decrease the energy import and  to secure energy supply, including through Renewable Energy (RE) development which has already started, the gap between the target and the actual is observable and acknowledged in existing studies or official reports by the authorities. Alignment between Islamic Finance (IF) and Renewable Energy can be observed, as both ideally have a preference for the earth and environment-friendly program. They align with several Sustainable Development Goals (SDGs), including SDG 7 on affordable and clean energy, SDG 10 on reduced inequality, SDG 13 on climate action, and SDG 17 on partnership on the goals. That is why this study aims to explore the opportunities and challenges of waqf-based renewable energy in Indonesia. To this end, a Focus Group Discussion (FGD) with 15 key informants from 12 different institutions was conducted by Waqf Center for Indonesian Development and Studies (WaCIDS). Notable views from relevant stakeholders, the representatives of both waqf and the RE sector, are complemented by an open-ended questionnaire, which was circulated during the session. Data is analyzed using thematic analysis with the assistance of Atlas.ti software. As a pioneer study that relates waqf and renewable energy in Indonesia, this study provides an avenue for further research and implementation. This study is expected to offer theoretical and practical references on waqf and RE discourse. As the waqf-related stakeholders may gain insight into entering the RE projects, the RE practitioners may also acknowledge the potential of waqf as part of financing alternatives. Hopefully, this study can benefit the policymakers and the pivotal stakeholders in seeking a solution to secure and sustain energy in Indonesia.


Download data is not yet available.
Abstract viewed: 460 times | PDF downloaded = 483 times


Agarwal, R., Hansmann, T., Tan, K. T., Agarwal, V., Lath, V., & Yi, Z. (2020). Ten ways to boost Indonesia’s energy sector in a postpandemic world.

Ari, I., & Koc, M. (2021). Towards sustainable financing models: A proof-of-concept for a waqf-based alternative financing model for renewable energy investments. Borsa Istanbul Review, 21(S1), S46–S56.

Arumugam, A., & Ponnusami, V. (2019). Biodiesel production from calophyllum inophyllum oil a potential non-edible feedstock: An overview. Renewable Energy, 131, 459–471.

Asian Development Bank. (2020). Renewable energy tariffs and incentives in Indonesia: Review and recommendations.

Bank Indonesia. (2016). Wakaf: Pengaturan dan tata kelola yang efektif (pertama). Departemen Ekonomi dan Keuangan Syariah-Bank Indonesia.

Baqutayan, S. M. S., Ariffin, A. S., Mohsin, M. I. A., & Mahdzir, A. M. (2018). Waqf between the past and present. Mediterranean Journal of Social Sciences, 9(4), 149–155.

Bowen, G. A. (2009). Document analysis as a qualitative research method. Qualitative Research Journal, 9(2), 27–40.

BP Statistical Review of Word Energy 2021. (2021). Statistical review of world energy. Statistical Review of World Energy (Vol. 70).

Bryman, A. (2012). Social research methods. Oxford University Press.

CAF. (2019). CAF World Giving Index 2018.

Charities Aid Foundation. (2021). World giving index 2021 (Issue June).

CIFOR. (n.d.). Calophyllum inophyllum (Tamanu tree).

Çizakça, M. (2000). A history of philanthropic foundations: The Islamic world from the seventh century to the present. Boğaziçi University Press Istanbul.

Eriksson, P., & Kovalainen, A. (2008). Qualitative research in business studies. Sage.

Fadilah, S. (2015). Going concern: an implementation in waqf institutions (religious charitable endowment). Procedia - Social and Behavioral Sciences, 211, 356–363.

Fereday, J., & Muir-Cochrane, E. (2006). Demonstrating rigor using thematic analysis: A hybrid approach of inductive and deductive coding and theme development. International Journal of Qualitative Methods, 5(1), 80–92.

Guest, G., Bunce, A., & Johnson, L. (2006). How many interviews are enough? An experiment with data saturation and variability. Field Methods, 18(1), 59–82.

Huda, N., Rini, N., Mardoni, Y., Hudori, K., & Anggraini, D. (2017). Problems, solutions and strategies priority for waqf in Indonesia. Journal of Economic Cooperation & Development, 38(1).

IEA. (2021). Indonesia. Country Profile.

Indonesian Ministry of Environment and Forestry. (2021). Sinergi energi dan perubahan iklim.

Indonesian Ministry of National Development Planning. (2017). Tantangan Indonesia untuk kembangkan energi terbarukan yang cepat dan terjangkau.

Indonesian Ministry of National Development Planning. (2019). Indonesia Islamic economic masterplan 2019-2024.

Indonesian Waqf Board & Ministry of Religion Republic of Indonesia. (2020). Survey report of waqf literacy index 2020 (laporan hasil survey indeks literasi wakaf 2020).

Iqbal, M. (2021). Green Waqf.

Johanssen, M. (n.d.). Traditional tamanu: It sure ain’t an ordinary type of oil. International Tropical Peatlands Center.

Kasdi, A. (2015). Peran wakaf produktif dalam pengembangan pendidikan. Quality: Jurnal Pendidikan Islam, 3(5), 433–452.

Listiana, L., & Alhabshi, S. M. (2020). Waqf and legacy of altruism in Singapore: Challenges and development. Journal of Islamic Economics and Business, 6(1), 116–133.

Listiana, L., Alhabshi, S. M., & Harjunadhi, A. W. (2020). Waqf for socio-economic development: A perspective of Ibn Khaldun. Journal of Ibn Haldun Studies, 5(1), 83–94.

Listiana, L., & Masyita, D. (2020). Awqaf–its ASEAN experiences and a lesson to learn. Awqaf-led Islamic Social Finance (pp. 234–244). Routledge.

Mahdiah, N., Hasanah, N., & Nursyamsiah, T. (2020). Factors effecting waqif’s decision in selecting productive waqf (Case study at Dompet Dhuafa Republika). Al-Muzara’Ah, 7(2), 27–39.

Ministry of Religion Republic of Indonesia. (2017). Dinamika perwakafan di Indonesia dan berbagai belahan dunia. Direktorat Jenderal Bimbingan Masyarakat Islam, Direktorat Pemberdayaan Zakat dan Wakaf.

Munir, A. S. (2015). Optimalisasi pemberdayaan wakaf secara produktif. Jurnal Ummul Qura, VI(2), 94–109.

Mutmainah, L., & Listiana, L. (2021). Audiensi WaCIDS dengan FPKS DPR RI terkait RUU EBT. WaCIDS.

Nizar, M. A. (2017). Development of productive waqf in Indonesia: Potential and problems. Munich Personal RePEc Archive, 97967, 1–48.

Obaidullah, M. (2016). Awqaf development and management. Islamic Research and Training Institute (IRTI) (Issue January 2013).

Omar, M. A. (2019). The Similarity between Islamic finance and impact investing. AIFC.

Pew Research Center. (2011). The future of the global Muslim population projections for 2010-2030.

Puvenesvary, M., Rahim, R. A., Naidu, R. S., Badzis, M., Nayan, N. F. M., & Aziz, N. H. A. (2008). Qualitative research: Data collection & data analysis. UUM press.

Sadeq, A. M. (2002). Waqf, perpetual charity and poverty alleviation. International Journal of Social Economics, 29(1/2), 135–151.

Siwak. (2019). Tabel jumlah tanah wakaf. Sistem informasi wakaf. Kementerian Agama Republik Indonesia.

Sukmana, R., Sholihin, M., Beik, I. S., Lestari, Y. D., Indrawan, I. W., & Ajija, S. R. (2021). National waqf index: A measurement for waqf performance (BWPS No 1/PKTD/BWI/III/2021; BWI Working Paper Series, Issue 1).

WaCIDS. (2021). Green waqf: Waqf as a solution to environmental recovery and energy independence. WaCIDS.

Widiastuti, T., & Wahyuningsih. (2018). Waqf productive efficiency: Evidence from Yayasan Badan Wakaf Sultan Agung, Semarang. Advances in Social Science, Education and Humanities Research (ASSEHR), 98, 178–185.

Wijaya, M. E., Haesra, A., & Mecca, B. M. (2020). Enhancing decentralized renewable energy investment to achieve indonesia’s nationally determined contribution. Climate Policy Initiative.

Wijaya, M. E., Siagian, A. P., Mecca, B. M., & Haesra, A. R. (2021). Accelerating renewable energy finance in indonesia: The potential of municipal green bonds (Issue July).

World Bank Group. (2019). Islamic Green finance: Development, Ecosystem and Prospects.