The Carbon Brief Profile: Indonesia

Wednesday, 27 March 2019

In the sixth article of a series on how key emitters are responding to climate change, Carbon Brief looks at Indonesia’s efforts to curb deforestation and tame polluting peatland fires. [contentbox id=”29536″]Indonesia was the world’s fourth largest emitter of greenhouse gases in 2015. It is the 16th biggest economy and the largest in southeast Asia. Its emissions stem from deforestation and peatland megafires and, to a lesser extent, the burning of fossil fuels for energy.The country recently overtook Australia again to become the world’s largest exporter of thermal coal. It plans to substantially increase its domestic coal-powered generation – partially in a bid to help close the “electricity gap” between its wealthy and less-connected islands.The current government has pledged to cut emissions by 29-41% by 2030, compared to a “business as usual” scenario.The country is holding a general election this April and polls suggest a win for current president Joko Widodo.(Update 23/04/2019: Joko Widodo has declared victory in the presidential election after unofficial results from private pollsters suggested he had won around 55% of the popular vote. The official results will not be announced until 22 May.)

Indonesia is the world’s and almost 260 million people live across its chain of islands, of which there are an . It also has the world’s largest Muslim population and is highly ethnically diverse, supporting more than .The country has held general elections since 1955, but only began holding presidential elections in . Its current leader, , was elected in 2014 and will face another election this April. Widodo is a member of the “” Indonesian Democratic Party of Struggle () and leads a majority coalition government with the support of .Widodo is the first president in Indonesia to not come from an elite military or political background and remains by the corruption allegations that dog other government officials. A year before he was elected, the described him as “an honest man”. However, he faces for doing little to advance human rights during his presidency.His campaign for reelection is centred around promises to , largely through more infrastructure development, and to increase measures to tackle terrorism and corruption – with any mention of climate change so far “tragically absent”, according to , an English-language Indonesian newspaper.Last year, Widodo boosted subsidies for diesel “amid worries that higher fuel costs [could] threaten his bid for re-election”, according to the , an Asia-focused financial publication. (He had previously overseen a “big-bang” removal of subsidies in 2015, , in a bid to reform Indonesia’s “” fuel support system.)A poll in January by , an Indonesian political consultancy firm, found Widodo had an approval rating of 53.2%. His biggest rival, – a former army general who lost to Widodo in 2014 – had an approval rating of 34.1%. released in February by , an Indonesian NGO that monitors the mining industry, found that 86% of the $4m in donations reported by the Widodo campaign is linked to big mining and fossil-fuel companies. It also found that 70% of the $3.4m declared by the Prabowo campaign is linked to mining and fossil-fuel firms.On 17 February 2019, both candidates took part in a televised debate on the theme of “environment, energy and infrastructure”. According to the environmental website , both pledged to increase the cultivation of palm oil – the major driver of deforestation in the country. Neither candidate mentioned how they planned to tackle climate change.Across the country, 41% of people describe themselves as “very concerned” about climate change, according to a taken in 2015. This is lower than the proportion of people concerned in neighbouring Vietnam (69%), Malaysia (44%) and the Philippines (72%), but equal to the proportion in the UK.

§ Paris pledge

Carbon Brief data PIK LULUCF biennial report UNFCCC

Image - Indonesia’s total emissions from 2000-16. Emissions from peatland fires (blue), forestry and other land use (“FOLU”; green), waste (yellow), agriculture (pale green), industry (“IPPU”; red) and energy (orange) are shown. Emissions are shown in gigagrams of CO2 equivalent (GgCO2e, millions of tonnes). It is worth noting that the figures are self-reported. Source: Ministry of Environment and Forestry, Indonesia. - Stacked bar graph showing Indonesia’s total emissions from 2000-16. Emissions from peatland fires (blue), forestry and other land use (“FOLU”; green), waste (yellow), agriculture (pale green), industry (“IPPU”; red) and energy (orange) are shown. Emissions are shown in gigagrams of CO2 equivalent (GgCO2e, millions of tonnes). It is worth noting that the figures are self-reported. Source: Ministry of Environment and Forestry, Indonesia (note)climate pledge NDC targets submitted Paris climate conference ratified in a phased approach

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Indonesia is part of five negotiating blocs at international climate negotiations. These include the Like-Minded Developing Countries (LMDCs); the G77 and China; the Coalition for Rainforest Nations; the Organisation of the Petroleum Exporting Countries (OPEC) and the Cartagena Dialogue. (More information on each group is available in an in-depth explainer of negotiating blocs by .)The country’s annual greenhouse gas emissions were 2.4bn tonnes of CO2 equivalent (GtCO2e) in 2015, according to compiled by the Potsdam Institute for Climate Impact Research (). The figure includes emissions from land use, land-use change and forestry (). Indonesia’s emissions represented 4.8% of the world’s total global emissions for that year.Its per-capita emissions were 9.2 tonnes of CO2e that year – larger than the global average (7.0 tonnes of CO2e) and the average in China (9.0 tonnes of CO2e), the UK (7.7 tonnes of CO2e) and the EU (8.1 tonnes of CO2e).However, it is worth noting that Indonesia’s total emissions vary widely from year to year, largely as a result of variable peatland “megafires”.The chart below, which is taken from Indonesia’s latest to the United Nations Framework Convention on Climate Change (), gives an idea of how the country’s peatland fires can shift overall emissions.The chart shows emissions from peatland fires (blue), forestry and other land use (“FOLU”; green), waste (yellow), agriculture (pale green), industry (“IPPU”; red) and energy (orange). (It is worth noting that the figures shown are self-reported.)Indonesia’s (“nationally determined contribution”, or ) a 29-41% reduction in emissions by 2030, compared to “business as usual”. The upper end of this range, conditional on “support from international cooperation”, would see emissions in 2030 remain at or below recent levels.This pledge was to the UNFCCC in the lead up to the . Indonesia the Paris Agreement in 2016.The country aims to decarbonise its economy “” – namely, through policies for “improved land use and spatial planning, energy conservation and the promotion of clean and renewable energy sources, and improved waste management”.This pledge has been rated “” by Climate Action Tracker (), an independent research project tracking climate policies. The rating suggests that Indonesia is not committing its “” to the emissions cuts needed to limit global warming to less than 2C. If all countries had similar targets, temperatures would reach 3-4C by 2100, the analysis finds.Indonesia’s emissions have increased at a faster rate than expected in recent years, CAT says, and, under current policies, “might even double by 2030”, when compared to 2014 levels.

§ Deforestation, palm oil and fire

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Image - A Bornean Orangutan feeds on aquatic plants in Tanjung Puting National Park, Central Kalimantan, Indonesia. Credit: Rosanne Tackaberry / Alamy Stock Photo. - A Bornean Orangutan feeds on aquatic plants in Tanjung Puting National Park, Central Kalimantan, Indonesia. Credit: Rosanne Tackaberry / Alamy Stock Photo. F72A16 (note)53%ubiquitous third 3.7 million people 498,000 hectares Brazil

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Glossary

El Niño: Every five years or so, a change in the winds causes a shift to warmer than normal sea surface temperatures in the equatorial Pacific Ocean – known as El Niño. Together with its cooler counterpart, La Niña, this is known as the El Niño Southern Oscillation (ENSO) and is responsible for most of the fluctuations in temperature and rainfall patterns we see from one year to the next.

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Image - A soldier tries to extinguish a peatland fire in South Sumatra, Indonesia, 12 September 2015. Credit: Xinhua / Alamy Stock Photo. - A soldier tries to extinguish a peatland fire in South Sumatra, Indonesia, 12 September 2015. Credit: Xinhua / Alamy Stock Photo. F26MJR (note)79%nationwide moratorium Peatlands Restoration Agency analysts say presidential instruction analysts land swap warn tightened linked to deforestation bitterly opposed investigation execution of a French citizen

Indonesia contains of the world’s tropical rainforests and of its tropical peatlands.Tropical peatlands are wet and swampy forested environments with soil that can hold up to more carbon than other types of mineral soil. It is estimated that Indonesia’s peatlands hold around of carbon – the equivalent of of global fossil fuel emissions.Indonesia also accounts for of the world’s palm-oil cultivation, a product in packaged food, fuels and cosmetics. It is the country’s most profitable export after coal and petroleum, and the industry employs an estimated .The thirst for palm oil has transformed the country’s landscape. From 2000 to 2015, Indonesia lost an average of of forest each year – making it the world’s second biggest deforester after .Much of this past deforestation involved “slash and burn” clearing, which has played a large role in driving polluting megafires across the country’s peatlands. When fires rip across peatlands, much of their vast stores of carbon are released into the atmosphere.The practice of has also heightened the risk of megafires. In order to grow palm oil and other crops, such as timber, peatlands are often drained of their natural moisture – leaving them dry and more likely to catch alight.In 2015, the number of peatland fires – causing greenhouse gas release on the same scale as Brazil’s total annual emissions. On some days, Indonesia’s fire emissions alone than those from the entire US economy. (The fires in 2015 were fanned further by hot dry conditions as a result of the natural climate phenomenon .)The smoke from the fires led to 19 deaths and caused up to half a million people to suffer from respiratory illness, the reported at the time.That year, changes to land-use, peatlands and forests accounted for of Indonesia’s total greenhouse gas emissions.In the wake of the deadly haze, Widodo announced a on the draining of Indonesia’s peatlands. He later set up the and tasked it with restoring 2m hectares of tropical peatlands by 2020.From 2016 to 2017, forest loss in Indonesia fell by 60% – in part due to the moratorium, .In September 2018, Widodo issued a to place a moratorium on new permits for palm plantations for three years.However, “threats remain”, say. More than a quarter of the peatlands put under protection in 2015 had already been auctioned off to palm oil and timber firms. To compensate these companies, the government is operating a “” scheme, offering firms access to unprotected land. Some groups this could clear the way for more deforestation.This year, the European Union its rules on biofuels in an attempt to limit the use of palm oil – a move that was by Indonesian ministers.A recent by Unearthed uncovered evidence suggesting that Indonesian ministers had tried to pressurise European countries, including the UK, into opposing the rule change. The investigation also found that, in 2016, France scrapped a proposed tax on unsustainable supplies of palm oil after being warned it could lead to the in Indonesia.Indonesia is the world’s and is home to the world’s 10th largest coal reserves, according to the latest .Around 80% of Indonesia’s coal is exported, to the International Energy Agency (). From 2000 to 2014, Indonesia’s coal exports quadrupled, Carbon Brief shows.In 2017, Indonesia overtook Australia to become the world’s largest exporter of thermal coal, which is used for power generation, according to the .China is the primary buyer of Indonesian coal and received 31% of its exports in 2017, says the . Other key include India, Japan and South Korea.Coal mining has many environmental impacts in Indonesia. For example, the shipping of mined coal from Kalimantan has destroyed “hundreds of square metres” of tropical coral reefs, according to .Around 58% of Indonesia’s electricity was generated by coal in 2017. This is shown on the chart below (black area).Chart by Carbon Brief using The country ranks 10th in the world for total coal capacity ( megawatts), but fifth for planned capacity ().However, it is worth noting that Indonesia has repeatedly scaled back its planned coal capacity. In 2015, Indonesia had plans for 45,000MW of new coal. This figure later fell to 34,000MW in 2018 and again to around 25,000MW this year, according to data from .In its latest on the global coal market, the IEA identifies Indonesia as a of rising demand over the next five years. It says demand for coal-fired power in the country is likely to increase as a result of “robust economic growth, a rising population and an expanding middle class”.In 2015, Widodo unveiled an ambitious plan to develop of new power by 2019 – in part to address the “” between the country’s wealthy islands, such as Bali, Java and Sumatra, and its smaller, more isolated islands. (The target was later pushed back to .)Interactive map of historical and planned coal power plants in Indonesia and South East AsiaThe government sees coal-fired power as a “cheap and easy” way to help meet its target, according to the .(However, by Carbon Tracker found it could become cheaper to build new renewables than new coal between 2020 and 2022, with new renewables becoming cheaper than existing coal by 2028.)In March 2018, officials of domestic coal for power stations for two years – a move intended to help keep electricity prices low around the time of this year’s election, say.Coal has not been a major talking point in Widodo’s campaign for reelection, according to . However, his rival Prabowo has called for coal use to be slashed and replaced with renewables, according to the .

§ Renewables

23%second largest producer 1,925MW 29,000MW 40%

Image - A Buddhist monk sits in front of the Kawah Ijen volcanic crater as sulphur gases are released, east Java, Indonesia. Credit: Malgorzata Drewniak / Alamy Stock Photo. - A Buddhist monk sits in front of the Kawah Ijen volcanic crater as sulphur gases are released, east Java, Indonesia. Credit: Malgorzata Drewniak / Alamy Stock Photo. PWKK7E (note)Pacific Ring of Fire Global Volcanism Program 7,200MW first wind power farm Sidrap Wind Farm under construction

Image - Indonesia’s president, Joko Widodo, inaugurates Sidrap Wind Farm in South Sulawesi, 2 July 2018. Credit: Yermia Riezky Santiago / Alamy Stock Photo. - Indonesia's president, Joko Widodo, inaugurates Sidrap Wind Farm in South Sulawesi, 2 July 2018. Credit: Yermia Riezky Santiago / Alamy Stock Photo. PAJ2W8 (note)statistics IRENA report

Just 5% of Indonesia’s electricity came from renewables in 2017 – the vast majority of this from geothermal sources. However, the government has pledged to source of its energy from renewables by 2025 and 31% by 2050.Indonesia is the world’s of geothermal power after the US.The country has installed of geothermal power. However, its untapped geothermal resources are estimated to total – of the world’s total geothermal reserves.Indonesia is a hotspot for geothermal resources because of its volcanic activity. It sits on the and is home to 139 volcanoes, according to the .The country aims to have of geothermal energy by 2025, which would make it the biggest geothermal producer in the world.Widodo opened the country’s in July 2018. The , the largest of its kind in southeast Asia, produces 75MW of electricity and supplies power to Sulawesi, an island east of Borneo. A second 72MW wind farm is currently on the island.The country currently has just 16MW of solar power, according to from the International Renewable Energy Agency ().However, the government aims to have 6,400MW of solar and 1,800MW of wind by 2025, according to a from IRENA.Yet Indonesia “could feasibly exceed its current goals and deploy even more renewables”, the report says. If policies were adjusted, Indonesia could achieve its 2050 renewables target by 2030, it concludes.The analysis notes that the potential of solar power is particularly underestimated by current government policy. With new policies and investment, solar has the potential to “provide electricity to nearly 1.1m households in remote areas that currently lack adequate access to electricity”, it says.

§ Climate laws

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Indonesia’s legal system is based on Roman-Dutch law, custom and Islamic law. A wide range of legislation is produced and exists in a hierarchy. This hierarchy is as follows (in order of importance): the 1945 constitution; ; law; government regulation substituting a law; government regulation; presidential decree; regional regulation.Much of Indonesia’s climate-related legislation is directed towards tackling emissions from the forest sector. Such laws, discussed in more detail above, include moratoriums on the draining of peatlands and the conversion of primary rainforest.In September 2018, Widodo issued a to place a moratorium on new permits for palm plantations for three years.The energy sector is also subject to climate-related regulations. The government issued a in 2014 which contained a pledge to source of its power from renewables by 2025 and 31% by 2050 – up from 5% today.Indonesia has targets to improve energy efficiency. Its National Master Plan for Energy Conservation () sets a goal of decreasing by 1% annually until 2025.In October 2017, the government announced a aimed at incorporating climate action into the country’s development agenda. (The country has four separate five-year development plans spanning the period ).The country’s National Medium Term Development Plan for 2015-19 says that a “” should be at the foundation of Indonesia’s development.This plan targets the eradication of illegal logging, fishing and mining and increased participation of local people in forest management. It also sets out aims to increase vulnerable communities’ resilience to climate change impacts.It specifically targets emissions cuts from five “”, including forestry and peatlands, agriculture, energy and transportation, industrial and waste.On 25 March 2019, the government launched a looking at how climate action can be incorporated into the country’s development plan for 2020-25.The report finds that a “low carbon” development pathway could drive a GDP growth rate of 6% a year until 2045, higher than the rate expected under a “business-as-usual” pathway. This path could also cut emissions by 43% by 2030, when compared to “business-as-usual” – exceeding the country’s current national climate targets.

§ Climate finance

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Indonesia has pledged to cut its emissions by 29-41% by 2030, in comparison to “business as usual” – but the top end of this pledge is conditional on “support from international cooperation”.The pledge did not, however, specify how much aid it would need to reach the upper end of its target. A separate published at the time reported that meeting the country’s alone would cost $108bn.Indonesia is a major , but its population faces steep financial inequality. A by Oxfam in 2017 found Indonesia’s four richest men now have more wealth than 100 million of the country’s poorest people. by Carbon Brief suggests that Indonesia is the world’s sixth largest recipient of climate finance, having received an average of $952m a year from 2015-16.Further Carbon Brief shows that, by 2016, Indonesia had been awarded $362m in investment from the Green Climate Fund () and the Climate Investments Fund ().Notable schemes financed by the multilateral climate funds include a to develop private sector geothermal energy and for a community-led project to tackle forest degradation.

§ Impacts and adaptation

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Image - Flooding in Jakarta, Indonesia, 10 February 2015. Credit: Dani Daniar / Alamy Stock Photo. - Flooding in Jakarta, Indonesia, 10 February 2015. Credit: Dani Daniar / Alamy Stock Photo. H93G14 (note)projected 15%could boost flash flooding landslides Research analysis changes El Niño home

Image - Male Lesser Bird-of-paradise in courtship display, Papua, Indonesia. Credit: Gabbro / Alamy Stock Photo. - Male Lesser Bird-of-paradise in courtship display, Papua, Indonesia. Credit: Gabbro / Alamy Stock Photo. R0K8B4 (note)RAN-API report

“As the largest archipelago nation in the world, Indonesia is one of the countries that are most vulnerable to climate change.”

Article information

Infographic by Tom Prater

As a highly populous nation spread across a chain of tropical islands, Indonesia is considered to be highly vulnerable to the impacts of climate change.Sea level rise threatens the who live less than 10m above sea level in Indonesia. A one-metre rise in sea levels could inundate of Indonesia’s coastal land and cause low-lying islands to .The country’s capital, Jakarta – which is home to 10 million people – is acutely threatened by sea level rise and has been described as the “” on Earth. The threat of sea level rise has been compounded in the city by , which is causing the ground to plummet.Increased rainfall is for most of Indonesia’s islands, except for its southern islands, including Java, where it is projected to decline by up to .Rainfall increases and decreases the risk of flash flooding and droughts, respectively. Indonesia’s megacities are particularly vulnerable to , which can trigger devastating .The timing of the country’s annual monsoon could also be impacted by climate change. suggests the risk of a 30-day delay to the monsoon could reach 40% by 2050, compared to 18% today. This could have large consequences for agricultural production.Carbon Brief finds that average temperatures on Indonesia’s islands have already risen by around 1.2-1.5C since the start of the industrial era.Increased temperatures – in addition to in the natural climate phenomenon – could further raise the risk posed by forest fires. As well as accelerating climate change, fires pose a risk to Indonesia’s biodiversity. Indonesia is to 12% of the world’s mammal species, 16% of its reptile species and 17% of its bird species.Indonesia launched its National Action Plan on Climate Change Adaptation () in 2012. In the foreword of the , Endah Murniningtyas, former deputy minister for natural resources and environmental affairs, wrote:The report outlines a plan to improve Indonesia’s resilience to climate change, namely by taking measures to improve energy and food security and to boost the resilience of its forest ecosystems. The report also identifies small islands, coastal regions and cities as “special areas” that most require stronger adaptation measures.

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