Green Planning and Budgeting Strategy for Indonesia's Development, 2015 - 2019

Penulis: Pusat Kebijakan Pembiayaan Perubahan Iklim dan Multilateral

This Green Planning and Budget (GPB) Strategy reflects growing concerns about Indonesia’s impressive record on economic growth which is vulnerable to environmental risks associated with climate change and the losses and degradation of natural resources. The preparation of the GPB Strategy was driven by the need for the Government of Indonesia to fulfil its commitment to implement Presidential Regulation no.61/2011 on the National Action Plan for the Reduction of Greenhouse Gas Emissions (RAN-GRK) by the year 2020. It also reflects growing concerns about Indonesia’s reliance on natural resources while it’s environmental carrying capacities decline and the poor performance of some green policies. The GPB Strategy therefore aims to define a more sustainable set of policies and to show how these can be implemented in line with the Medium Term Expenditure Framework and performance-based budget system, despite the additional costs that will be needed for some new policy reforms.

The GPB Strategy adopts a Green Economy approach with primary focus on mitigation of, and adaptation to, climate change and on the environment and long-term growth. The Strategy was coordinated by the Ministry of Finance’s Centre for Climate Change Finance and Multilateral Policy (PKPPIM) and supported by an inter-ministerial team and a senior advisory panel.