JAKARTA - Indonesia as the President of the G20 continues the agenda of the national interest in energy transition through various international forums. Recently, RI through the Minister of Finance (Menkeu) Sri Mulyani again raised this issue through the IIF Sustainable Finance Summit 2022 forum.
She revealed that in fact the issue of energy transition is closely related to the issue of environmental change and is the responsibility of all countries in the world.
"We encourage discussions with G20 member countries and take advantage of the global pathway with the UNFCCC (United Nations Framework Convention on Climate Change) where many countries have also made their commitments to reduce carbon dioxide emissions," she said in an official statement quoted Friday, March 11.
According to the Minister of Finance, Indonesia has prepared several main principles in efforts to deal with climate change. First, is through reducing carbon emissions in several very important sectors and economic activities. Second, the main sectors that greatly influence are the energy sector and the forestry or land use sector.
“If we can reduce carbon emissions then the most challenging task is actually on the one hand economic growth will demand more energy. This is how we will ensure that demand will continue to be provided through more renewable energy, so that in the end this is all a policy choice,” she said.
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Furthermore, the state treasurer explained that the third reduction effort was through the ratification of the Law on the Harmonization of Tax Regulations (HPP), which also regulated the carbon tax.
“Because this is an instrument, we will commit to a certain level of carbon emissions produced. You will pay or you will be able to credit (sell) the carbon, and it can be traded. This is what we are currently discussing in depth about how Indonesia can prepare itself," continued the Minister of Finance.
The Minister of Finance also saw that with the current world geopolitical situation, energy prices could become very high and unpredictable. This is a very challenging situation, not only for one or two countries but for all countries that are currently talking about climate change) correctly in the midst of the current geopolitical challenges,” closed the Minister of Finance Sri Mulyani.
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