Protect of Climate and Earth With Industrial Decarbonization
TIMESINDONESIA, JAKARTA – The Indonesia Net Zero Summit 2022 become an important event to encourage Indonesia to reach net zero. The conference, which is part of the G20 Indonesia, represents various industrial sectors to jointly discuss the future of Indonesia, not only for the industrial sector but also for the future of the planet.
The Indonesia Net Zero Summit 2022 was attended by more than 1,000 people from 30 countries gathered at the Bali Nusa Dua Convention Center (BNDCC) 1, Bali. This conference is an opportunity for national and international companies to discuss challenges, opportunities, and developments in Indonesia's transition towards a country that is resilient to the climate crisis.
The event was opened by Shinta Widjaja Kamdani as the Chairwoman B20, Norimasa Shimomura as UNDP Representative Head, M. Arsjad Rasjid P.M. as the Chairman of the Indonesian Chamber of Commerce and Industry, and followed by an explanation of the context of the issue by Bahlil Lahadalia as the Minister of Investment.
The opening of event ended with a Keynote Speech delivered by Luhut B. Pandjaitan, Coordinating Minister for Maritime Affairs and Investment.
The reality of the climate crisis cannot be denied. All countries are feeling the devastating effects of climate change, triggering a response from the world to work together to limit the increase in the earth's surface temperature to below 1.5 degrees Celsius. This reinforces the urgency to transition to a low-carbon economy.
As a key driver of the national economy, the industrial sector plays a major role in this transition, mainly through industrial decarbonization. Even so, of course, steps to minimize the impact of the climate crisis such as the energy transition are not simple things that companies can do directly.
Understanding the challenges faced by the industry, the Indonesian Chamber of Commerce and Industry (KADIN) took the initiative to partner with national companies to transition towards net zero through KADIN Net Zero Hub.
After last year's COP26, to date, KADIN Net Zero Hub has assisted more than 50 companies to realize their net zero commitments. Chaired by KADIN Indonesia's New and Renewable Energy Standing Committee Chair, Muhammad Yusrizki, this initiative provides training and resources to help companies calculate their emissions, to ensure companies set emission reduction targets with scientific standards.
Attended by representatives from various industrial sectors, the Indonesia Net Zero Summit 2022 proved the commitment of the Indonesian business sector to decarbonize the industry and demonstrated the real action of KADIN Net Zero Hub to help Indonesia achieve its NDC target.
Shinta Widjaja Kamdani as The Chairperson of B20 and Deputy General Chair of the Indonesian Chamber of Commerce and Industry (KADIN) Coordinator for Maritime, Investment, and Foreign Affairs, emphasized in his speech the role of business in realizing the theme of "Recover Together, Recover Stronger" which was raised by the G20.
Shinta Widjaja Kamdani brings up the dilemma facing the industry. While the business sector has always been said to be the largest contributor to carbon emissions, with 74.5% of the world's GHG emissions coming from industrial value chains, "… at the same time, the business has a responsibility to accelerate economic recovery," she underlined.
Carrying out these responsibilities will require support and cooperation, particularly to ensure a just and sustainable energy transition, as stated by the UNDP Country Director, Norimasa Shimomura, in his opening remarks.
At the opening of the event, UNDP and KADIN Indonesia signed an MoU to work together to invite and support companies in taking climate action and realizing their commitment to achieving net zero.
Changing businesses to ensure Indonesia achieves the national net zero target is a challenging path, but there are already more than 50 companies committed to becoming net zero companies through KADIN Net Zero Hub today, and they are already making real progress in reducing emissions. Indonesia Understands the Urgency of Policy for Climate Change
Turning Indonesia into a net zero country will require collective action by all sectors. This national transition needs to involve the public and private sectors to build a supportive ecosystem, such as the provision of incentives or investment schemes that can facilitate businesses to switch to renewable energy.
The government representatives who attended this event were the Minister of Investment, Bahlil Lahadalia, and the Coordinating Minister for Maritime Affairs and Investment, Luhut B. Pandjaitan.
In terms of clean energy investment, Indonesia plans to install a hydropower plant with a total capacity of 9,000 MW in North Kalimantan.
"The net energy produced will supply the Green Industrial Estate (KIPI Tanah Kuning), with a total investment commitment of US$ 130 billion," Bahlil Lahadalia said as Minister of Investment.
Explaining the context for this meeting, Bahlil Lahadalia reminded the guests of the wealth of Indonesia's natural resources that promise the great potential to support the transition to clean energy.
In terms of new and renewable energy, Indonesia is one of the countries with the greatest renewable energy potential in Southeast Asia.
Luhut B. Pandjaitan as Coordinating Minister for Maritime and Investment Affairs reiterated Indonesia's superior position on the decarbonization agenda through his Keynote Speech.
With the position of Southeast Asia which is often said to be one of the most vulnerable regions to the impacts of the climate crisis, Indonesia is well aware of the urgency of policies for climate change that can encourage real climate action.
"I will ensure that the policies we make today will not harm the future of the next generation," promised the Coordinating Minister.
The Indonesia Net Zero Summit 2022 opened the discussion through five-panel sessions that underlined the urgency to transition to a greener economy.
The topics raised in the five panels are Value Chain Decarbonization, Call for Ambitions: Hard to Abate Industries, Decarbonizing Power Grid, Corporate Climate Governance, and Engagement Through Financial Sector.
The panel discussion was interspersed with a Call to Action in the form of the signing of the MoU, proof that the Indonesia Net Zero Summit 2022 carries the spirit of the KADIN Net Zero Hub: encouraging businesses to take steps beyond the statement of commitment by realizing it through real climate action.
Gathering panelists and guests who came from various sectors and countries, the Indonesia Net Zero Summit 2022 became a new point for Indonesia to mobilize national industries towards a low-carbon future collectively and collaboratively on a large scale. (*)
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|Editor||: Khodijah Siti|
|Publisher||: Sofyan Saqi Futaki|