Indonesia's Decarbonization Plans Diagnostic: A Policy Paper

Alin Halimatussadiah, Muhammad Adriansyah, Fachry Abdul Razak Afifi, Muhammad Yudha Pratama, Teuku Riefky and Jiehong Lou
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Jiehong Lou: Institute for Economic and Social Research, Faculty of Economics and Business, Universitas Indonesia (LPEM FEB UI)

No 202480, LPEM FEBUI Working Papers from LPEM, Faculty of Economics and Business, University of Indonesia

Abstract: One of the central commitments Indonesia is pursuing is integrating a green economy into its economic development framework. This aligns seamlessly with the nation's dedication to fostering sustainable and environmentally friendly development practices. This commitment is underscored by the significant reduction in greenhouse gas emission intensity, targeted to reach 93.5% below 2010 levels by 2045. This goal establishes a clear pathway toward achieving net-zero emissions by 2060. This policy paper provides an in-depth analysis of the strategies and policies outlined by comprehensively maps both current and prospective strategies, policies, and programs aimed at achieving Indonesia's development target that aligned with a green economic approach. They are NDC, LTS-LCCR 2050, LCDI, Roadmap NZE Energy. While all three planning documents elaborate long-term plans for Indonesia's journey toward reducing its carbon footprint, they encompass divergent approaches, targets, and commitment periods, leading to varied strategies and programs. The differences among these documents could potentially send mixed signals, affecting planning and budgeting, especially crucial up to the end of the Paris Agreement period in 2030, after which the discrepancies can be re-evaluated. To ensure cohesive and effective climate action, it is imperative for the Indonesian government to unify its approach by creating a dynamic, iterative planning document. This document should be continuously updated to ensure the convergence of all planning efforts, thereby enhancing the effectiveness of Indonesia's climate actions.

Keywords: green; economy; —; net-zero; emission; —; climate; action; —; Indonesia; —; climate; policies (search for similar items in EconPapers)
JEL-codes: Q50 Q54 Q56 Q58 (search for similar items in EconPapers)
Date: 2024-80, Revised 2024
New Economics Papers: this item is included in nep-ene, nep-env and nep-sea
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