Indonesia strives to switch to more environmentally friendly energy. Not only that, Indonesia has big ambitions to become a net-zero emission country by 2060.
To achieve this target, Indonesia needs to pay attention to three important things. This was conveyed by the Deputy for Planning of the Ministry of Investment / BKPM Indra Darmawan.
So, what are these three things?
According to Indra, the three things to achieve net zero emission are measurement, motivation, and literacy.
He then describes these three things. The first is the problem of measurement. Indra said a tool is needed to measure it to get to a green economy.
“As long as there is no tool to measure it, we are dark, yes, we want to go green but we don’t know how much green it is,” said Indra at the 2022 Green Economy Indonesia Summit: “The Future Economy of Indonesia” Day 2, Thursday (12/5/ 2022).
He explained that the Financial Services Authority (OJK) had attempted to issue a green taxonomy. Soon, Bank Indonesia will also issue a kind of carbon calculator. This, according to him, is very good for business actors so that they have guidelines to achieve a green economy.
He gave an example, if someone reduces fuel from diesel to solar power, then the tool will show how much emissions are reduced, so once again he emphasized that the tool is very important to measure emissions. Next is motivation.
“What I mean by motivation is that if we reduce fossil energy, and move to green energy, there must be areas or business actors who will be harmed,” he said.
In addition, the competitiveness of coal-producing regions will decrease and many poor people consume goods and food produced from high energy intensives.
According to Indra, if the carbon tax is applied just like that, it will be unfair to the poor and business actors.
So, he said, the challenge is, that apart from being green, it must also be fair and affordable.
“If we are told to use solar energy, wind energy, but our electricity bill is tripled, no one wants to. But if solar energy is cheaper than diesel energy, we don’t have to be told to obey. So that’s a matter of motivation,” he explained.
The last one is literacy. Indra said that not everyone understands Net Zero Emissions, carbon offsets, to Sukuk green frameworks of financing. Because they do not understand, then people become disobedient. Therefore, literacy in the green economy needs to be improved so that people understand better.
“When people understand, people will obey,” he said.