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Equitable and Sustainable Development in SEA I: Institutions & Policies

1100–1230, Saturday 16 April 2016, L5

Abidah Setyowati
Rutgers University

List of Papers:

  • Paper 1: Taking stock of international cooperation for low carbon, climate resilient land use in Indonesia
  • Paper 2: Who are the Environmentally Friendly People and Who are Not? (A Case of South Sumatera Province, Indonesia)
  • Paper 3: Designing instruments and incentive schemes to eliminate Persistent Organic Pollutants: A case of Polychlorinated Biphenyls (PCBs) in Indonesia
  • Paper 4: Feed-in Tariff for Renewable Energy Promotion in Thailand

Paper 1: Taking stock of international cooperation for low carbon, climate resilient land use in Indonesia

Angela Dawn Falconer
Climate Policy Initiative

With its high contribution to global land use, forestry and agriculture emissions, Indonesia has a key role to play in meeting climate stabilization targets. This paper discusses the role of international development partners in financing mitigation and adaptation actions in the land use sectors in Indonesia, evaluating what progress has been made to date, what challenges have been met, and what opportunities lie ahead to effectively support Indonesia. The paper provides a ‘deep dive’ sectoral analysis of international development partner data collected for the Indonesian Landscape (Ampri et al. 2014), supplemented by literature review and expert interviews.
The paper finds that the enabling environment for investments in land use in Indonesia remains weak and the focus of international development partners on supporting indirect enabling environment activities is therefore well directed. Support helps to improve information, transparency and governance, to tackle illegality and allocate and manage land more efficiently. But, international cooperation faces many implementation challenges and there is room for systematic improvements to increase its effectiveness. Parallel support is also needed to further support scale up of direct implementation activities to develop sustainable agriculture and agro-forestry value chains, ecosystem restoration and sustainable livelihood options for rural communities.


Paper 2: Who are the Environmentally Friendly People and Who are Not? (A Case of South Sumatera Province, Indonesia)

Flinders University

The intergovernmental Panel on Climate Change (IPCC) declared in 2007 that global warming and climate change are not just a series of events caused by nature, but rather caused by human behavior. Thus, to reduce the impact of human activities on climate change it is required to have information about how people respond to the environmental issues and what constraints they face. However, information on these and other phenomena remains largely missing, or not fully integrated within the existing data systems. The proposed study is aimed at filling the gap in this knowledge by focusing on Environmentally Friendly Behavior (EFB) of the people of Indonesia, by taking the province of South Sumatera as a case of study. EFB is defined as any activity in which people engage to improve the conditions of the natural resources and/or to diminish the impact of their behaviour on the environment. This activity is measured in terms of consumption in five areas at the household level, namely housing, energy, water usage, recycling and transportation. By adopting the Indonesia’s Environmentally Friendly Behaviour conducted by Statistics Indonesia in 2013, this study aims to precisely identify one’s orientation towards EFB based on socio demographic characteristics such as: age, income, occupation, location, education, gender and family size. The results of this research will be useful to precisely identify what support people require to strengthen their EFB, to help identify specific constraints that different actors and groups face and to uncover a more holistic understanding of EFB in relation to particular demographic and socio-economics contexts. As the empirical data are examined from the national data sample framework, which will continue to be collected, it can be used to forecast and monitor the future of EFB.


Paper 3: Designing instruments and incentive schemes to eliminate Persistent Organic Pollutants: A case of Polychlorinated Biphenyls (PCBs) in Indonesia

Sonny Mumbunan
University of Indonesia

Persistent Organic Pollutants have adverse consequences on human health and the environment as they are nearly indestructible and accumulate in all stages of food chain. One important persistent organic pollutant is Polychlorinated Biphenyls (PBCs). The harmful effects of PCBs have justified the ban on their production, sale and use, and for the elimination of their existence. Many countries have established national action plan to eliminate PCB wastes or PCBs-contaminated equipment. Numerous countries are considering designing instruments and schemes for the plan.

This paper looks at designing instruments and incentive schemes to eliminate PCBs in Indonesia from a more interdisciplinary perspective – environmental science and institution economics. For such purpose, the paper suggests that instruments and incentive schemes in concern should take into account specific country contexts, extend the scope of instruments and incentive schemes to include non-economic ones, and thus take an hybrid approach. Three critical specific contexts are discussed here, i.e. (1) clear policy objective of phasing-out PCBs; (2) variability of characteristics of PCB owner; and (3) choice of PCB elimination technology. Furthermore, concerning designing instrument and schemes, in addition to standard economic instruments in the form of price instruments such as subsidies and market price, the possibility of bundling economic instruments with non-economic instruments should be on the table for exploration and assessment. The non-economic instruments include information revelation about PCB ownership, awareness about regulation, and the presence of credible sanction.



Paper 4: Feed-in Tariff for Renewable Energy Promotion in Thailand

Chattaporn Harabut
Western Sydney University

In the situation where fossil fuels are skyrocketing couple with the exacerbating impact of global warming, shifting to renewable energy generation is worldwide national interest because the electricity sector is key to ensuring energy supply security as well as reducing environmental problems from climate change. The feed-in tariffs (FIT), as a mandated market policy instrument to incentivize the deployment of renewable energy by offering a guaranteed purchasing price for electricity generated from renewable energy source for a specified period in order to ensure cost-effectiveness, is the world most common used measure to promote renewable energy(REN21, 2011). Thailand was one of the first Asian countries to implement a feed-in tariff scheme for small producers of renewable energy since 2007. This paper draws on the issue of an overview and analysis of Thailand’s feed-in tariff programme, its strengths and weaknesses, and the evolving context in which it operates. A case study of Thailand’s feed-in tariff provides insights and lessons on how policy instruments are selected, designed and applied. This paper applies analytical, historical, theoretical, and doctrinal approaches to find out the assessment of Thailand’s feed-in tariff programme to promote renewable energy deployment based on Thailand’s conditions and concerns. The analysis sheds new light on the type of instruments selected should be based in objectives, country conditions and power sector structure. It is argued that the effectiveness of feed-in tariff scheme rely on how well it is designed and enforces.