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01 May 2019

The Indonesian Ministry of National Development Planning (BAPPENAS) launches the groundbreaking report “Low Carbon Development: A Paradigm Shift Towards a Green Economy in Indonesia”, showing how the country could gain tremendous economic benefits by transitioning to a low-carbon economy. According to the report, a low-carbon development path could deliver an average of 6 % GDP growth per year until 2045, with continued gains in employment, income growth and poverty reduction. 


The report is the result of the work of the Low Carbon Development Initiative (LCDI) with the analytical support of the New Climate Economy, WRI Indonesia, Climate Policy Initiative, Global Green Growth Institute, Overseas Development Institute, International Institute for Sustainable Development and The Nature Conservancy. 

In October 2017, the Government of Indonesia declared its goal of integrating climate action into the country’s development agenda. The Low Carbon Development Initiative (LCDI) was launched by BAPPENAS to identify development policies that maintain economic growth, alleviate poverty, and help meet sector-level development targets, while simultaneously helping Indonesia achieve its climate objectives, and preserve and improve the country’s natural resources. It is coordinated by BAPPENAS and brings together several institutions from the Government of Indonesia, the international donor community, local and international partners, distinguished experts, and civil society. It aims to explicitly incorporate greenhouse gas (GHG) emissions reduction targets into the policy planning exercise, along with other interventions for preserving and restoring natural resources. 

At request of BAPPENAS, PAGE is currently supporting the Ministry of National Development Planning in developing a framework of support to be provided by various LCDI partners to the implementation of selected scenarios from the LCDI report. The selected LCDI scenarios will be incorporated into the National Mid-Term Development Plan RPJMN 2020-2024, seeking to establish a country that is developed and self-reliant, just and democratic, and peaceful and united.
Together with other LCDI partners, PAGE is identifying activities to be implemented. Consultations have taken place with Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), Indonesia Climate Change Trust Fund (ICCTF) and the UK Climate Change Unit (UKCCU) to develop the LCDI implementation support framework and to identify and review LCDI activities that could be supported by PAGE and the other partners involved. 

Indonesia joined PAGE in 2018 with a strong political commitment to address major sustainability challenges and align the country’s growth agenda with its sustainability and climate goals. PAGE’s work is supporting the Government in integrating green economy principles and low-carbon development within its National Medium-Term Development Plan 2020-2024. Greater involvement with the Low Carbon Development Initiative presents a tremendous opportunity for PAGE. This work will contribute to the further alignment of the Partnership with national efforts to promote a low-carbon development path for Indonesia. PAGE’s cost-effective, high-impact delivery model will also contribute to the objectives of the LCDI by promoting a strong sense of community, cooperation and collaboration among different stakeholders. 


Low Carbon Development: A Paradigm Shift Towards a Green Economy in Indonesia 

Low carbon development report cover

This report is based on the results of the analysis produced under the process coordinated by BAPPENAS to support the development of the RPJMN  2020-2024.This Report includes contributions from partners, including the WRI Indonesia, Global Green Growth Institute Indonesia, KnowlEdge Srl, New Climate Economy and partners, with all the above being referred to as the NCE-LCDI Partnership. Other institutions contributing to LCDI and the RPJMN process include International Institute for Applied System Analysis (IIASA), World Agroforestry (ICRAF), System Dynamics Bandung Bootcamp, Sarana Primadata Group (SPD), United Nations Development Program (UNDP). 

Full report: English 

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