Indonesia

INDONESIA

Indonesia has ambitious goals to reduce greenhouse gas emissions both by 2020 and 2030 under the Paris Agreement, while at the same time maintaining strong economic growth and alleviating poverty. Sustainable land use and clean energy will be key aspects to meeting these challenges.

ID | EN
 

Our Focus

CPI partners with government, business, and civil society—at both the national and regional levels—to support Indonesia as it reconciles its climate goals and development objectives. CPI works to implement the Production & Protection approach to realize sustainable and equitable land use in Indonesia. At the national level, CPI partners with the Ministry of Finance to understand, develop, and adjust fiscal policies and mechanisms that encourage the transition to a green economy and the optimal use of land and energy resources. CPI also closely collaborates with Ministry of Environment and Forestry and Ministry of Energy and Mineral Resources. In efforts to accelerate green investment, particularly in the energy sector, CPI works with public and private financing institutions.

CPI’s Indonesia program is led by Mahua Acharya and Tiza Mafira.

Key Projects

  • CPI’s Production and Protection Approach to Landscape Management (PALM) aims to make a significant contribution to the development and realization of Central Kalimantan’s green growth strategy. In partnership with the University of Palangka Raya and the PILAR Foundation, CPI is supporting the province’s transition towards sustainable oil palm production while protecting vital natural landscapes.
  • CPI, in partnership with The Nature Conservancy and GIZ, is working to support East Kalimantan on sustainable land use through Low Emissions Palm Oil Development. CPI’s work, particularly focused on the Berau District, aims to optimize agricultural productivity for sustainable land use and to develop a strong sub-national fiscal policy to support regional economic growth.
  • Fiscal Policy for Sustainable and Equitable Land Resources Management aims to advance Indonesia’s fiscal policy frameworks at the national and local levels, while supporting sustainable and equitable land and resource governance. Through a series of analytical studies, policy workshops, and stakeholder meetings, CPI is demonstrating the linkages between fiscal policy and land and resource issues, and building the technical capacity of government and non-government actors to design and implement effective land use and fiscal policies.
  • The Clean Energy initiative supports accelerating renewable energy investment and reducing Indonesia’s dependence on fossil-fuel based energy. The initiative includes policy work and advisory support to public and private entities, engaging national and international groups sharing the same objectives.
  • The Landscape of Public Climate Finance provides comprehensive information about the flows of climate finance in the country by mapping the key actors, financial instruments, and target sectors that ultimately drive investment.
  • CPI is supporting the Government of Indonesia in Designing a Fit-for-Purpose Environment Fund, projected to become a leading national funding mechanism to address climate change and environmental challenges.

Partner Institutions

Indonesia_MoF_Logo 600px-Logo_Universitas_Palangkaraya PILAR-Logo-Inline_Col

What’s New in Indonesia

BLOG

Uncovering the Private Climate Finance Landscape in Indonesia

May 15, 2020

Climate finance in Indonesia is falling far short of the need.

Indonesia needs an estimated USD 247 billion by 2030 ...

Read More

PUBLICATION

Enhancing Decentralized Renewable Energy Investment to Achieve Indonesia’s Nationally Determined Contribution

May 14, 2020

Decentralized renewable energy can increase energy access to Indonesia’s underserved regions and contributes to its National Energy Policy targets. However, existing DRE business models fail to address prevailing barriers in the sector, ranging from policy barriers, limited access to finance, and high investment risks, discouraging private investments. This report, produced in collaboration with Hivos, aims to improve the overall financial feasibility of DRE in Indonesia.

Read More

BLOG

Indonesia Environment Fund: Bridging the Financing Gap in Environmental Programs

April 30, 2020

Tasked with managing funds related to environmental protection and conservation, Indonesia’s Environmental Fund Management Agency provides a unique financing ...

Read More

PUBLICATION

Indonesia Environment Fund: Bridging the Financing Gap in Environmental Programs

April 27, 2020

The regulatory framework of a public service agency provides solid legal basis for a robust and flexible vehicle to fund activities for public interest, including managing money from international donors. This paper aims to unpack the Public Agency for Environment Fund Management (Badan Pengelolaan Dana Lingkungan Hidup—BPDLH) and analyze its role and potential as the “financing hub” for environmental programs in Indonesia.

Read More

EVENT

Uncovering the Private Climate Finance Landscape in Indonesia

OJK Office, Wisma Mulia, Jakarta , December 19, 2019

Climate Policy Initiative, Indonesia and the Financial Service Authority (Otoritas Jasa Keuangan or OJK) convened a workshop on Thursday, 19 ...

Read More