BI And Coordinating Ministry For Maritime Affairs Launch Green Calculators To Help Finance Industry Calculate Carbon Emissions

BI Deputy Governor Juda Agung (Photo: Aris Nurjani/VOI)

JAKARTA - Bank Indonesia (BI) together with the Coordinating Ministry for Maritime Affairs and Investment (Kemenko Marves) launched a Green Calculator to provide an early warning system to the financial sector.

BI Deputy Governor Juda Agung conveyed the launch of the green calculator, as an effort by his party to facilitate the non-financial and financial industries in calculating how green their economic activities are.

"So every economic activity from an entity, industry and the financial sector has emissions and it can be calculated. How to use electricity, how to use fuel, the emissions exist but can be compensated for with activities that are of course green," he said during the launch of the financial stability study book No. 43 and a green calculator, Wednesday, October 2.

The Green calculator is a smartphone-based Green House Gas (GHG) emission counter that can be used by economic actors easily, voluntarily, and for free.

Calculation of GRK emissions in Green Calculators uses national emission factors (emission factors based on national samples), except for coal and charcoal briquette emissions that use global emission factors (emission factors based on international samples or Intergovernmental Panel on Climate Change - IPCC2). Green Calculator applications are available on mobilephone and tablet versions of iOS and Android platforms.

The Green Calculator uses the national emission factor figures that have been approved by the relevant Ministries/Institutions, so that it can provide accurate calculation results in accordance with Indonesia's characteristics. The Green Calculator provides the same national carbon emission measurement standards, so that it can calculate the emission footprint towards the targets to be achieved.

Juda said that with the green calculator, Indonesia will have the same carbon emission measurement standards, so that it can calculate the carbon footprint towards the targets it wants to achieve.

Meanwhile, there are three goals for the green calculator. First, this green calculator can be used to monitor the level of greenness of an economic activity, and the success rate towards a green economy.

Second, the green calculator is expected to provide convenience for banks and the business world to meet reporting or disclosure needs, which are currently being blamed by regulators and global markets.

Third, with reporting, the green calculator can open wider access to investment and green funding, both funding from banks and from global financial markets.

"Global finance is also currently financing the real sectors to see how green he is. So this is very beneficial for the industry and for the financial sector," he explained.

On the same occasion, Deputy Coordinating Ministry for Maritime Affairs for Environmental and Forestry Management Coordination, Nani Hendiarti said that the presence of a green calculator would help in obtaining measurable data regarding what could be done to reduce carbon emissions.

"(This green calculator application) is needed to measure the actual green level of the financial industry. More importantly, it is also to be included in the report. So this report can later be useful for the development of the financial industry," he said.