An Overview of Indonesia Sustainability_Liana Bratasida_RevSP(1)

An Overview of Indonesia Sustainability

Chair of Supervisory Board, ISSP IndonesiaExecutive Director , Indonesian Pulp and Paper

Association (APKI)

By Liana Bratasida

Sustainability Sharing Session January 4, 2013 - Karawaci, TangerangProperty of ISSP Indonesia, 2013

Population in 2010 (inh) 231 mioGDP in 2010 (US$) 700 billionIncome per capita (US$) 3,000Land area (km square) 1,919,440Energy consumption (Mboe) 891.64Transportation (Mboe) 226.09

Indonesia at the Glance

Property of ISSP Indonesia, 2013

Source: Worldbank, and Indonesia‘s Ministry of Energy and Mineral Resources, 2010

Transformation in the trajectory of economic development to sustainable development.

Resources-efficiency approach and internalizing value of natural resources and environment, eradicating poverty, creating green jobs, and ensuring sustainable economic growth.

Win-win solution between environmental protection and economic growth.

Should be adjusted based on the condition and needs of each country.

Indonesia’s view of Sustainable Development


Indonesia’s Spatial Planning


1. Law of the Republic of Indonesia No. 6/1994 on the Ratification of UN Climate Change Convention

2. Presidential Regulation No. 5/2006 on National Energy Policy

3. Law of the Republic of Indonesia No. 30/2007 on Energy

4. Presidential Instruction No. 2/2008 on Energy and Water Efficiency

5. Law of the Republic of Indonesia No. 32/2009 on Environmental Protection and Management

6. Many others…

Legal Basis of Sustainable Development in Indonesia


Indonesia’s Commitment

“And we will need to work together, to adapt our lifestyle and our national policies

towards a green global economy, based on the principle of common but differentiated responsibilities and respective capabilities. It

is in this spirit that we in Indonesia have adopted a 4-track development strategy, which is pro-growth, pro-job, pro-poor,

and pro-environment”.

-President Susilo B. Yudhoyono, World Economic Forum at Davos,

January 2011


4-track development strategy:

1. Pro-growth,

2. Pro-job,

3. Pro-poor, and

4. Pro-environment.

Indonesia’s Policy & Framework

ISSP INDONESIA

1. Masterplan for Acceleration and Expansion of Indonesia Economic Development 2011-2025 (MP3EI)

2. Masterplan for Acceleration and Expansion of Indonesia Poverty Eradication (MP3KI)

3. Masterplan for Acceleration and Expansion of Indonesia Environmental Protection and Management (MP3LHI)

MDGs


Indonesia’s RPJM National PrioritiesIndonesia’s RPJM National Priorities

1 Bureaucracy Reform and Good Governance2 Education3 Health4 Poverty Alleviation5 Food Security6 Infrastructure

7 Investment Climate8 Energy9 Environment and Disaster Management (incl.

Climate Change)10

Disadvantaged, Borders and Post-Conflict Areas

11 + 3 National Priority

2010-2014

11

Culture, Creativity and Technology Innovation

12 Politic, Law and SecurityEconomic DevelopmentSocial Welfare

13

14

ISSP INDONESIAProperty of ISSP Indonesia, 2013

Indonesia’s Challenges

Poverty is still main obstacle (Fiscal stimulus vs stimulus for

ecology..?)


“We are devising an energy mix policy ... that will reduce our emissions by 26 percent by 2020. With international support, we are confident we can reduce emissions by as much as 41 percent.”

Indonesia‘s Pledge for Emission Reduction*Statement by President Soesilo Bambang Yudhoyono

ISSP INDONESIA

“We are also looking into the distinct possibility of committing a billion tons of CO2 reduction by 2050.We will change the status of our forests from that of a net emitter sector to a net [carbon] sink sector by 2030”

*Stated at the G20 Summit on Sept 2009 and reiterated at UNFCCC COP 15/CMP 5 on Dec 2009


Indonesia’s Actions

ISSP INDONESIA

Unilateraland International Support

President Commitment G-20 Pittsburgh and COP15

To reduce te GHG Emission in 2020

26%

15%Unilateral

RAN-GRK

26%41%

IndonesiaIndonesiaGreen Green InvestmentInvestmentFund (IGIF)Fund (IGIF)


National Communications GHG Inventory and National Action Plan on

GHG Emission Reduction (GR* 61/2011) National Action Plan for GHG Emission

Reduction Indonesia Climate Change Trust Fund/ICCTF Indonesia Climate Change Sectoral

Roadmap/ICCSR TNA, NAP on Mitigation and Adaptation LCDP*GR = Government Regulation

Policy Arrangements


GHG Inventory: Share of Sector to total national GHG emission in 2000

The main contributing sectors were Land Use Change and Forestry, followed by energy, peat fire related emissions waste, agricultural and industry

The main contributing sectors were Land Use Change and Forestry, followed by energy, peat fire related emissions waste, agricultural and industry


Indonesia is seeking to reform economic and fiscal policy to meet low-carbon economy objective. A range of government-led studies is underway in Indonesia that looks at options to reduce emissions, such as:

1.provide domestic enabling conditions supported by innovative financing mechanisms as well as policy reforms (fiscal/pricing policy, standards, education capacity building)

2.create public and private partnership and including green investment funding mechanisms

3.green investment at the core of the stimulus packages include green investment in regular government budget

4.provide global enabling conditions (trade, IPRs, ODA, TT and environmental agreements)

Challenges and Opportunities


Green Industry ( Low Carbon, Cleaner Production, 3R)– Ministry of Industry

Green Economy – Ministry of Environment Green Building – Ministry of Environment (Ministry

Regulation no. 08/2010) Sustainable Transportation (Public Transportation

System, Eco Airport)– Ministry of Transportation Sustainable Agriculture Development – Ministry of

Agriculture Sustainable Forest Management – Ministry of Forestry Sustainable Development-based Spatial Planning –

Ministry of Public Work Green Banking/Sustainable bank – National bank of

Indonesia/BNI, Bank Mandiri Green Investment (Socially Responsible Investment/SRI):

Bapepam and Indonesia Stock Exchange Energy Self-sufficient Village Climate Village

Sustainable Development Activities In Indonesia


An Overview of Indonesia Sustainability_Liana Bratasida_RevSP(1)

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