Green Infrastructure in Indonesia
Indonesia is the fourth most populous country in the world and one of the fastest growing emerging markets. This rapid growth has increased living standards, but has also seen environmental degradation and increased vulnerability to the impacts of climate change.
Indonesia ratified the Paris Agreement, committing to making finance flows consistent with the pathway towards low-carbon and climate-resilient development.
Indonesia now plans to expand its green infrastructure to achieve economic and environmental benefits as green infrastructure is a network providing the “ingredients” for solving urban and climatic challenges by building with nature.
Infrastructure Finance Gap
The Low Carbon Development Initiative (LCDI) estimates that Indonesia’s low carbon pathway requires a total amount of low carbon development investments that would average US$21.9 billion per year for the period of 2020-2024, which is about 1.7% of GDP. Accordingly, required LCDI investment represents about 2.3% of GDP through 2045.
Solid Waste Management
About 70% of solid waste produced by Indonesians each year is sent to open dumpsites, which has a negative effect on the health of environment and local communities.
In response, the Government of Indonesia committed to develop a comprehensive strategy to improve policy and institutional capacity for waste management at local level; enhancing management capacity of urban waste; reducing landfill waste by promoting 3Rs (Reduce, Reuse, Recycle) and turning waste into energy.
In March 2019, the Government of Indonesia released its ambitious national plan for waste management with goal of reducing marine plastic debris by 70% and solid waste by 30%. The initiative is part of Global Plastic Action Partnership which uses an innovative, analytical model for data-driven decision making that estimates the investment needed, timeline, environmental footprint and greenhouse gases emissions as well as the impact of project on people’s lives.
Example of Potential GII Investments
- Waste collection with recovery of recyclable materials including reduction, segregation at source and use of transfer stations.
- Flood protection and rehabilitation of existing landfills.
- Establishment of sanitary or controlled landfills.
- Environmentally sound collection and treatment of landfill leachates.
- Mechanical-biological waste treatment with production of substitute fuels from high-calorific fractions for co-incineration, for example in cement plants.
- Establishment of waste sorting plants or material recovery facilities (MRF) for the production and marketing of separate recyclable material fractions.
- Waste-to-Energy, such as incineration plants for larger cities or densely populated areas after separation of low calorific value waste fractions; and collection of landfill gas and use for energy (electricity) generation.
Water and Wastewater Management
Indonesia, the world’s fourth most populous country, is becoming increasingly urban. Today over half of the population lives in cities; by 2045, the centenary of Indonesia’s independence, nearly three-quarters will.
Analysis by World Bank shows only 2 percent of households in the core of Jakarta, which has a population of 10 million, are connected to the public sewerage system. Most urban households have septic tanks – but they leak, and so hardly need desludging. The effluent is not always disposed into the treatment plants for those households that do desludging. 95 percent of Indonesia’s wastewater flows into agricultural fields, rivers, and open drains.
The health repercussion of this are immense. Poor quality of groundwater contributes directly to infant mortality (212 per 1000 births compared to 59 per 1000 in other middle-income countries in South East Asia). Indonesia also suffers from a disproportionately high incidence of typhoid for its region and income level, and stunting has become a severe health issue.
Example of Potential GII Investments
- Improvement of public water supply in terms of quality, coverage (connections) and reliability.
- Raw water source assessment for a new or expanding supply network(s) – local versus regional supply.
- Reduction of non-revenue water (NRW) losses.
- Digitalization of billing and collection systems.
- Improved digital diagnostic and O&M procedures.
- Water safety in cities.
- Rainwater collection and drainage systems.
- Integrated sewerage systems including septic tanks and grey water from households using appropriate technologies.
- Flood protection of coastal towns and cities along rivers.
- Adaption of public spaces (streets, squares etc.) as retention basins for the containment of heavy rainfall events (sponge city concept).
- Energy generation from biogas in existing wastewater treatment plants including potential for co-digestion of organic liquid wastes.
- Energy efficiency.
- Collection and treatment of fecal sludge from decentralized sanitary systems.
- Institutional framework constraints – structural, human resources.
Urban Public Transport
The transport sector accounts for approximately 30% of Indonesia’s total greenhouse gases (GHG) emissions – comparatively more than global share of around 23%.
Improving connectivity and public transportation is a critical social and environmental priority for President Joko Widodo, aiming to improve access for more people in more places, reduce congestion and air pollution and drive trade and economic growth – without contributing to total GHS emissions.
Large cities are particular priorities with increasing congestion and pollution resulting in economic, health and climate impacts. Around 50% of the Government of Indonesia’s National Strategic Projects pipeline is dedicated to transportation infrastructure, with just under a quarter of these being green infrastructure.
Example of Potential GII Investments
- Assessment of current and future demand for public urban transport (surveys, links to city planning, etc.).
- Introduction or upgrade of all modes of public transport from regular buses, bus ways, BRT, mini-buses (angkot) and taxis to railway systems such as MRTs, LRTs/trams; including related infrastructure development (under-/overpasses, bus lanes, interchanges, etc).
- Electrification of public transport (battery electric, trolley buses) with integration of renewable energy solutions.
- Last-mile connectivity: Development of infrastructure and services for pedestrians, cyclists and all kind of wheelers, including bike paths and cycling highways, area-wide pedestrianization, auxiliary facilities to expand “catchment” area of public transport systems.
- Area and traffic management:
- Pollution reduction/Urban air quality improvement:
- Green logistics:
– Assist in setting up Intelligent Transport Systems to support eco-friendly public transport modalities.
– Development and support of Transit Oriented Development approaches, including development of last-mile services, densification, etc.
– Improved emissions control and vehicle testing, , installation of air pollution monitors for measuring SO2, CO2, NO2, NO and particulate matter (PM-10 and PM-2.5);
– Transparent calculation of reduction of GHG emission of different investment scenarios.
– Support to fleet renewal and consolidation.
– Development of freight hubs and consolidation centers.
– Hinterland connectivity of ports and area improvement.