Transcript UMM TEAM – MALANG JUNE - 2008

UMM TEAM – MALANG
JUNE - 2008
4 – Indonesia Position & Role
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Country Description
Impact of Climate Change in Indonesia
Source of Green House Gasses
Working Group on Climate Change
Legal & Regulatory Framework
National Development Planning
Program for Mitigation
Technology Requirement
Financing the Climate Change Strategy
Energy status & Alternative Energy
4 – Indonesia Position & Role
4 – Indonesia Position & Role
4 – Indonesia Position & Role
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Indonesia is located in the tropical belt, is the
largest and widest archipelago country in the
world, consist of 17,508 big and small islands,
there are 5 big islands : Sumatera, Java, Borneo,
Celebes and West Irian
There are two season in Indonesia , May to
October is dry season and October to April is
rainy season
Second world’s longest coast line (81.000 km)
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Based on demography survey in 2000, the total
population was 206 million, representing the
fourth largest country in the world
With the population growth rate was 1,49
percent.
Estimate population in 2006 was 220 million.
4 – Indonesia Position & Role
4 – Indonesia Position & Role
Climate Change Effects
Sea Level Rise
Ocean Warming
Impacts on Indonesia
Disappearing Small Islands
Salt Water Intrusion
Decline in Fisheries Harvest
Loss of Biodiversity
Increased
Temperature
Increased Fire Risk
Increased Disease Risk, Range
Increased Rainfall
Increased
Evaporation
Increased Tropical
Storms
Floods and Land Slides
Changes in Planting Season
Drought, Food Security
Transport Vulnerability
Food and Water Scarcity
4 – Indonesia Position & Role
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Deforestation rate (2000 – 2005) -> 2,8 Million
Ha/year & Forest fire (West Borneo in 2006) -> loss
of 91 Million USD (source: www.beritabumi.or.id)
Flood (February 2007) result in 8 Billion USD loss
(source: www.detikfinance.com)
Landslide -> 80 Million USD/year
Human health : Dengue, Malaria, Diarrhea
Rise of Sea Level
Drought (Cirebon District in 2006) result in loss of
8.6Million USD (source:
http://greenpena.blogspot.com)
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The disappearing of small Island -> within 2005 –
2007, 24 small islands disappear, the location:
 3 island in Nanggroe Aceh Darussalam (NAD)
 3 island in Papua
 5 island in Riau
 2 island in west sumatera
 7 island in the coastal area of Jakarta
(source: Ministry of Oceanary & Fishery)
4 – Indonesia Position & Role
4 – Indonesia Position & Role
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The availability of water is very dependent on the climate, due to the
limited supply of water (only covers about 37% of urban population
and 8% of rural population) causing people and industries use deep
groundwater resources  land subsidence that creates areas
vulnerable to flood and salt water intrusion
4 – Indonesia Position & Role
Jakarta
Coastal
Region
in 2050
4 – Indonesia Position & Role
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During El Nino years (1994, 1997,2002,
2003, 2004 and 2006) shown that 8
reservoirs in Java have produced electricity
below normal capacities
During El Nino 1997 has caused serious
problems to coral reef ecosystems where
90-95% of coral reefs at the depth of 25m
have experienced coral bleaching
4 – Indonesia Position & Role
 Poorest nations and poor groups are likely to be hardest hit by
the effects of climate change as they:
 rely heavily on climate change-sensitive sectors (agriculture
and fisheries)
 Are less able to respond (lack of human, institution and
financial capacity)
 Achievement of the National Development goals and
Millennium Development Goals (MDG) – see table
Changes in mean climate,
variability, extreme events
and sea level rise
Impact on poverty and
national development
planning targets
Increased temperature
and changes in
precipitation reduce
agricultural and natural
resources
Lowered industrial
output and labour
productivity, high
inequality, impacts on
trade, and fiscal and
macro-economic
growth, and povertyreducing effects
1.
Reduced productivity
and security of poor
people’s livelihood
assets, and reduced
access for the poor to
their livelihood assets
4.
Change in precipitation,
run-off and variability
leads to greater water
stress
Increased incidence or
intensity of climate related
disasters lead to damage
to assets and
infrafstructure
Temperature, water and
vegetation changes
contribute to increase
prevalence of disease
Less effective coping
strategies among the
poor, and increased
vulnerability of poor
people
Impact on the eight MDG
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Eradicate extreme poverty and hunger
Food security jeopardized, more intense disasters threaten livelihood
Achieve universal primary education
More vulnerable livelihoods means more children engaged in
employment; infrastructure damage from disasters
Promote gender equality and empower women
Women make up two-thirds of world’s poor and are more adversely
impacted by disasters.
Reduce child mortality
Children more vulnerable to malaria and other diseases, which are
spread more widely by climate change
Improve maternal health
Pregnant woman particularly susceptible to malaria
Combat HIV/ AIDS, malaria and other diseases
Increase prevalence of mosquito-bone diseases
Ensure environmental sustainability
Climate change indication of unsustainable practices. Move toward
more energy-efficient model of consumption
Promote global Partnerships
Wider forums must acknowledge the role of climate change in
impacting MDGs
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Based on Workshop on Climate Change and Health in South East Asian Countries :
Kuala Lumpur, Malaysia
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4 – Indonesia Position & Role
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Transportation
Industry
Forestry
Agriculture
4 – Indonesia Position & Role
4 – Indonesia Position & Role
EXISTING INDONESIAN WORKING GROUP ON
CLIMATE CHANGE
Mitigation
Energy:
Adaption
Industry
Post Kyoto
Transfer of Technology
Transportation
Agriculture
Financial Mech.
Forestry
Forestry
Ocean
Energy
Waste
Working Group on Climate Change Activities: to undertake qualitative
policies and measures that lead to the our response to Climate change,
i.e. to stabilize concentration of GHGs at the safe level.
Working Group of Transfer of Technology Activities: to further derivation
and enrichment the previous project and to prioritize technology needs,
and capacity building to assess technology needs, modalities to acquire
and absorb them.
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Ministry of Environments
Ministry of Research and Technology
Agency for the Assessment and
Application of Technology (BPPT)
Governments Departments: Energy &
Mineral Resources, Forestry, Agriculture,
etc.
Meteorology and Geophysical Agency
Indonesia State Electricity Company
Private Sectors
Universities
NGOs
4 – Indonesia Position & Role
4 – Indonesia Position & Role
4 – Indonesia Position & Role
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Presidential Rule No.5, 2006 regarding National
Energy Policy, asp. on energy mix by the year
2025
Presidential Decree No.10, 2005 on energy
efficiency
Presidential Decree no. 1, 2006 regarding
Biofuel Utilization Program
Act No. 6/1994 which stipulate the ratification of
UNFCCC
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Act No. 23/1997 regarding Environmental
Management
Ministrial Decree of Forestry No. 14/04
regarding Afforestation/Refforestation Project
Ministrial Decree of Environment no. 53/03
regarding Ministry of Environment as National
Committe of Climate Change
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Ministrial Decree of Environment no. 206/05
regarding Ministry of Environment as the
Indonesia DNA
Government Regulation no. 4/2001 concerning
Controlling Environmental Damages and or
Pollution Associated with Forest and Land Fire
4 – Indonesia Position & Role
LEGAL & REGULATORY FRAMEWORK FOR INDONESIA POWER SECTOR, INFRASTRUCTURE DEVELOPMENT & IMPLEMENTATION
DESCRIPTION
PT. PLN (PERSERO)
INFRASTRUCTURE
DEVELOPMENT LEGAL &
REGULATORY FRAMEWORK
INDONESIA POWER SECTOR LEGAL & REGULATORY FRAMEWORK
ELECTRICITY LAW
(GOVERNMENT OF INDONESIA LAW NO. 15 / 1985)
<A>
ARTICLE 5
POINT 1
INFLUENCED BY
NATIONAL
ELECTRICITY
GENERAL PLAN 20062026
( MEMR DECREE NO.
2270K/31/MEM/2006)
<C>
POLICY,
STRATEGY,
NATIONAL
TARGET, AND
NATIONAL PLAN
ARTICLE 2
POINT 2
MODIFICATION OF
GOVERNMENT REGULATION
NO 10/1989 SUBJECT,
SUPPLY AND UTILIZATION OF
ELECTRICITY
(GOVERNMENT REGULATION
NO.3/2005)
<B>
ARTICLE 5
POINT 1&2
NATIONAL ENERGY POLICY
(PRESIDENTIAL REGULATION NO.5/2006)
<D>
ASSIGNMENT TO PLN FOR ACCELERATION OF
COAL FIRED POWER PLANTS DEVELOPMENT
(PRESIDENTIAL REGULATION NO. 71/2006)
<E>
ESTABLISHMENT OF COORDINATION TEAM
FOR POWER PLANTS DEVELOPMENT.
(PRESIDENTIAL REGULATION NO,72/2006)
<F>
DERIVATION
CONSIDERING
SUPPLY AND UTILIZATION OF BIOFUEL AS
ALTERNATIVE FUEL
(PRESIDENTIAL INSTRUCTION NO.1/2006)
<G>
LIQUEFIED COAL’S SUPPLY AND ITS
UTILIZATION
(PRESIDENTIAL INSTRUCTION NO.2/2006)
<H>
·
·
IMPLEMENTING
RULES,
PROCEDURES
AND PLAN
IMPLEMENTATION
·
SUPPLY AND DEMAND
BALANCE
INVESTMENT
REQUIRMENT
PROJECT LIST
LEGALIZATION OF
MODIFIED PLN ELECTRICITY
SUPPLY GENERAL PLAN/
RUPTL 2006-2015
(MEMR DECREE NO. 2923K/
30/MEM/2006)
<I>
POJECT DEVELOPMENT
AND IMPLEMENTATION
POWER PURCHASE AND TRANSMISSION RENTAL
GUIDELINES OF THE
ISSUANCE OF
PROCEDURE OF POWER
ELECTRICITY BUSINESS
PURCHASE AND/OR
LICENSE FOR
TRANSMISSION RENTAL
TRANSMISSION
ELECTRICITY SUPPLY
TRANSPROVINCE OR
FOR PUBLIC
CONNECTED TO NATIONAL
(MEMR REGULATION
GRID
NO.001/2006)
(MEMR REGULATION NO.
<J>
010/2005)
<L>
CRITICAL AREA
LIST OF POWER
SYSTEMS (AREAS)
IN CRITICAL
CONDITION
(EMERGENCY
CONDITION)
(MEMR REGULATION
NO. 206-12/40/600.2/
2006)
<M>
LIST OF POWER
SYSTEMS (AREAS)
IN CRITICAL
CONDITION
(EMERGENCY
CONDITION)
(MEMR
REGULATION NO.
482-12/40/600.2/
2006)
<N>
TO OBTAIN GOVERNMENT
SUPPORT/ GUARANTEE
COAL FIRED
POWER PLANT
CRASH
PROGRAM
COOPERATION
BETWEEN
GOVERNMENT AND
ENTERPRISES FOR
DEVELOPMENT OF
INFRASTRUCTURE
(PRESIDENTIAL
REGULATION NO67/
2005)
<P>
RENEWABLE
ENERGY
RENEWABLE ENERGY
MEDIUM SCALE
MEDIUM SCALE OF
RENEWABLE ENERGY
POWER PLANT
(MEMR REGULATION
NO. 002/2006)
<O>
RISK
MANAGEMENT
GUIDELINES FOR
INFRASTRUCTURE
DEVELOPMENT
(MINISTRY OF
FINANCE
REGULATION
NO.38/PMK.01/2006)
<Q>
NATIONAL ENERGY TRAJECTORY
PRIMARY ENERGY MIX 2005
Panas Bumi
1.32%
Tenaga Air
3.11%
Gas Bumi
28.57%
t1?
Minyak
Bumi
51.66%
Batubara
15.34%
t2?
• Enhancing energy security & mitigating CO2
emissions: to secure strategic reserve, to improve
efficiency in energy production & use, to increase
reliance on non fossil fuels and to sustain the
domestic supply of oil/gas (slower growth in fossil
fuel-demand in oil/gas imports and in emissions).
• Proposed energy technology use, diffusion and
deployment, increasing clean energy technologies.
• Energy infrastructures and its time frame.
• Etc.
National Energy Mix Target 2025
(PERPRES NO. 5/2006)
t3?
Minyak Bumi
THE NATIONAL ENERGY ISSUES
What is the Sustainable Road Map?
Presidential Rule
No. 5/2006
20%
≤
Gas Bumi
30%
t25
Bahan Bakar Nabati
(Biofuel)
5%
Others
EBT +17%
≥
≥
Panas Bumi
≥
5%
Biomasa, Nuklir, Air,
≥
Surya, Angin
5%
Batubara yang
Dicairkan (Coal
≥
Liquefaction)
2%
Batubara
33%
≥
≥
4 – Indonesia Position & Role
4 – Indonesia Position & Role
Integrating Climate Change to National
Development Planning Process
INPUT DOCS
BRIDGING DOCS
Strategic Nat. Res & Env.
Assessment (SNREA)
for 2010-2014 NMTDP
2010-2014
National Mid-Term
Development Plan
(NMDPT)
National
Communication,
National Sector
Strategy, etc.
Climate
Change
Program
MID TERM
DEVELOPMENT
PLAN
2004-2009
GOV WORK
PLAN
2008
MID TERM
DEVELOPMENT PLAN
2010-2014
GOV WORK
PLAN
2009
GOV WORK
PLAN
2010
GOV WORK
PLAN
2011
GOV WORK
PLAN
2012
GOV WORK
PLAN
2013
GOV WORK
PLAN
2014
FUNDING
GOV
FUNDING
LOAN
GRANT
COMM/
PRIVATE/
NGO/CSR
CDM
DEBT
SWAP
INDONESIA
INTERNATIONAL
WORLD
CLIMATE CHANGE NATIONAL
ACTION PLAN
LIVING DOCUMENT
“NATIONAL ACTION PLAN
IN FACING CLIMATE
CHANGE”
MINISTRY OF ENVIROMENT
“The Strategy of Carbon
Absorption Potential
Improvement and Strategy
of Carbon Emission
Reduction”
MINISTRY OF SOCIAL
WELFARE
NATIONAL DEVELOPMENT PLANNING AGENCY
BAPPENAS
“NATIONAL DEVELOPMENT PLANNING RESPONSE TO
CLIMATE CHANGE”
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11.
Agriculture
Coastal and Small Island
Health
Transportation
Public Works
Human Settlements
Energy and Mining
Forestry
Environmental
Technology
Rehabilitation & Revilitation Peat
Land
12. Mainstreaming Decentralized
Disaster Risk Reduction
IMPLEMENTATION
4 – Indonesia Position & Role
What is national development plan?
 Process to make development plans consist of long-term
development plan, medium-term development plan and annual
development plan which will be implemented by state
institutions, private sector and community in all level of regions
Current regulations applied for development planning:
 Law No. 25/2004 about Development Planning
 Presidential Regulation No. 7/2005 about Medium-term National
Development Planning 2004-2009
Other national development plan policy relates to Climate Change:
 Millennium Development Goals (do not have legal status)
4 – Indonesia Position & Role
4 – Indonesia Position & Role
Environmental Policies are aimed to:
1.
To mainstreaming sustainable development principles into
alldevelopment aspects;
2.
Improve coordination among environmental institutions in nantional
and local level;
3.
Increase the law enforcement effort to the poluters;
4.
Increase the capacity of environmental institutions in national and
local level;
5.
Improve the awareness of community on environmental issues and
support community active participation to monitor environmental
quality;
4 – Indonesia Position & Role
Among 15 environmental policy objectives, 3 objectives
(No.5-7) are related to climate change issues:
Improve urban air quality especially in Jakarta,
Surabaya,Bandung, and Medan, supported by
improvement of environmentally sound of
transportation system and management;
2. Reduction of ODS (Ozone Depleting Substances)
gradually until 2010;
3. Improve national capacity in adapting climate
change issues into development aspects;
1.
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Target 9 : Integrate the principles of sustainable
development into country policies and
programmes and reverse the loss of
environmental resources
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Target 10 : Halve, by 2015, the proportion of
people without sustainable access to safe
dringking water and basic sanitation
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Target 11 : By 2020, to have achieved a significant
improvement in the lives of slum dwellers
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To integrate the agenda of climate change adaptation to the National Development
Strategy such as: Mid-Term & Long-Term Development Plan;
To re-observe and re-adjust initiative or program to be resilience to the climate
change;
To Institutionalize the climate information usage to enable climate risk mitigation
and management;
To encourage local government to integrate the climate risk consideration into their
local development planning;
To strengthen information and knowledge to reduce climate risk in recent and in the
future;
To ascertained of the availability of internal resources and funding for adaptation
program and maximalize the utilization of available international funding;
To choose for no-regret option, which is taking the adaptation act regardless for
example the non-occurence of climate change;
To encourage the establishment of national dialog to accelerate the implementation
process of climate change adaptation agenda in Indonesia.
4 –MITIGATION
Indonesia Position & Role
1. Toward Green Indonesia (MIH) &
Aforestation (National forest and land
rehabilitation)
2. Water
Conservation
(Watershed
Management, Well Absorption, Reservoir)
3. Forest Fire Master Plan Poverty Derivation
Education for Farmer (for not doing land
clearing by land burning
such as:
government will supply fertilizer and
contribute good quality seed)
4. Flood Management
5. Reconstruction/redesign
of
irrigation
Agriculture
6. Encouraging CDM Project increase by
sectoral approach
7. Mixed Energy Policies
8. Free tax for clean technology equipments
9. Energy Efficiency in the government
buildings
10. Air Pollution Control for Transportation
11. Self Sufficient Energy Village Program
ADAPTATION
1. Encourage MGA (Meteorological
and Geophysical Agency) to have
station monitoring for weather
forecast More Accurate and Realistic
Number
2. Identify the vulnerable sectors
affected by climate change.
3. Public Participation.
4. Mainstreaming Adaptation Issue into
related policies sector; for reviewing
the 5--years Strategy Programme.
5. Draft
National
Strategy
on
Adaptation to Climate Change
4 – Indonesia Position & Role
4 – Indonesia Position & Role
The immediate objective:
 to enable Indonesia to identify national technology needs,
 capacity building to asses international technology availability, and
 modalities to acquire and absorb the appropriate technology.
Sectors in Existing Indonesian TNA
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Energy Sector
 Energy Industry
 Industry Sector
 Household and Commercial Sector
 Transportation sector
Non-Energy Sector
 Agriculture and Livestock
 Forestry
(Existing Indonesian TNA submited to UNFCCC on 2001)
4 – Indonesia Position & Role
MODALITIES OF TECHNOLOGY TRANSFER
 Institutional Establishment
 Regulation Development
▪ Procedure of Transferring Technology
▪ The Role of Decentralization
▪ System & Procedure Establishment
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Financial Arrangement
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Foreign Direct Investment
Official Development Assistance
The Global Environmental Facility
Clean Development Mechanism
Multilateral & Bilateral Agencies
Regional Development Banks
Etc.
(Existing Indonesian TNA submited to UNFCCC on 2001)
4 – Indonesia Position & Role
Criteria for prioritizing technology needs
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Utilization of local resources
Rational utilization of resources
Socio-economic important
GHG reduction potential
Investment cost
Social acceptance
Minimum impact on environment
Methods for prioritization of technology needs
 Cost–benefit and risk–benefit analyses
(Existing Indonesian TNA submited to UNFCCC on 2001)
4 – Indonesia Position & Role
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Indonesia listed barriers and measures sector-wise. Types of barriers to
technology transfer identified are:
 Economic / market
 Information/awareness
 Policy
 Regulatory
 Institutional
 Human
 Technical
 Infrastructure
Indonesia expressed concern about the high investment costs of selected
mitigation options, which could translate into higher product prices and
loss of competitiveness in the case of the energy sector. However, it
identified barriers only in the transport, forestry and agriculture sectors.
(Existing Indonesian TNA submited to UNFCCC on 2001)
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High Efficiency Power Generation: Clean Coal Technology, CHP Technology,
etc.
Energy Efficiency in Industrial sector (cement, iron & steel, pulp & paper,
fertilizer, textile, mining, lime calcination, chemical, etc.)
Energy Efficiency in Industrial Equipments (Industrial process, electrical
motor, boiler, compressor, furnace, Refrigeration, heater, room conditioning,
cooling tower, electrical system, combustion, pump, lighting, steam
distribution, waste heat recovery, etc.
Energy consumption efficiency in transportation including using gas for
vehicles including improvement of public transportation
Carbon Capture Sequestration (CCS)
Cleaner Production Technology for Industry
Renewable Energy: Biomass, Wind, Solar, Ocean, Geothermal, Hydro
electric, etc.
Climate modification technology
Climate monitoring & reporting system
4 – Indonesia Position & Role
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Avoiding forest burning, avoiding deforestation, forest conservation and
reforestation, etc.
Composting of agricultural waste, manure management, etc.
Landfill management to avoid methane release
Ocean Sequestration
Technology for water resources management
Industrial waste water treatment
Industrial solid waste treatment (recovery, composting of palm free fruit
bunch.
4 – Indonesia Position & Role
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Indonesia is already responding to this challenge in anticipation of
the future consequences.
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In 2007 and 2008, central government spending on environmental
programs over 2006 levels to 6 trilion rupiah was doubled.
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At the regional level, we have also nearly doubled spending to 6
trillion Rupiah on reforestration and special funds for environment
and conservation.
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Together, these funds amount to USD 1.4 billion spent on
environment management, conservation and forest restoration.
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In 2005, Indonesia also instituted a large increase in fuel prices by
reducing subsidies that will encourage energy efficiency , while
protecting the poor.
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Indonesia
(RPJP, RPJM,
RKP)
Climate
Change
Joint
Programs
Donor
(Country Strategy/
Program)
The support of developed countries on Climate Change Program
all over the world should be in addition to their commitment to
support MDG’s achievement through ODA(0.7 % GNP)
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4 – Indonesia Position & Role
Financing
Bilateral
JBIC
DFID
AusAID
DANIDA
Netherlands
EC
GTZ
Norway
CIDA
Sweden
Mechanisms
G-to-G
Bilateral
Multilateral
Climate-Proof Economy
Loan
Grant
Others
Int’l trust funds: GEF,
Adaptation funds, CIF
Private Sectors
Policy Re-orientation
Community-Based Programs
Awareness raising
CC Trust Fund
Trust tee
Management
GoI host
TA & financial &
management
support
Multilateral
Wolrd Bank
ADB
UNDP
Mitigation & Adaptation
Training/Workshops
Capacity Building
Small-scale Investment
Public-private partnership
CDM
Piloting
Execution of Policy/Strategy
Policy Implementation
4 – Indonesia Position & Role
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UNFCCC Convention
 Article 11: grant and/or concession…
 Prefer to have ODA+
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Paris Declaration
 ownership, donor harmonisation, governance,…
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In line with national interest and financing regulation:
 Long-term and Mid-term National Development Goals
 State Law No. 17/2003 about State Finance and Foreign Loan and Grant
Regulation (Government Regulation No.2/2007)
4 – Indonesia Position & Role
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Non-UNFCCC mechanism:
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Grant from Bilateral Countries or Multilateral Institutions (ODA and
ODA+)
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Foreign Loan (ODA and ODA+):
▪ Program Loan: only for budget/fiscal deficit
▪ Sectoral Loan: emphasizing co-benefit approach between
development and climate change
▪ Trust Fund (both International and national)
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UNFCCC mechanism:
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Global Environmental Facility (GEF)
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Special Climate Change Fund (SCCF)
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Adaptation Fund (AF)
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Up-coming Reduction Emission from Deforestation and
Degradation (REDD) mechanism
4 – Indonesia Position & Role
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CDM investment through Bilateral, Multilateral and
Unilateral sources
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PRIVATE SECTOR:
We should also look to encourage greater levels of private
sector involvement in mitigating and adapting strategies.
Government can use fiscal instrument to encourage private
sector to invest in environmental friendly technology
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Grant
Debt swap
Trust Fund
Soft Loan - concession
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Steering Committee/Ministers
Policy
Report
Program Steering
Committee
Chair: GoI
Co-chair: Representative of Donor
Sub
Group/Issue
Program
Dialogue
Sub
Group/Issue
Funding
Multi Donor
Trust Fund
(MOU GOI-Donors)
Sub
Group/Issue:
Climate
Change
Ministries/Agencies/
Local Governments/
SOEs
Bilateral/
Multilateral
Donors
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4 – Indonesia Position & Role
4 – Indonesia Position & Role
Indonesia Energy Projection
4 – Indonesia Position & Role
Gas
Coal
Wind
Wind
Thermal
Other
Oil
4 – Indonesia Position & Role
Gas
Coal
Oil
Wind
Wind
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4 – Indonesia Position & Role
Presidential Decreed No. 1 / 2006
Regarding
Supply & Usage of Bio Fuel as Alternative Energy
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4 – Indonesia Position & Role