Acceleration Of Carbon Tax Implementation, PLN Learns Up To Europe

Photo: Doc. Between/PLN

JAKARTA - PT PLN (Persero) has adapted the Emissions Trading System (ETS) mechanism that has been implemented in Europe to be implemented in Indonesia. For this reason, PLN and Energy Academy Indonesia (ECADIN) collaborate with the European Commission of Climate Action to improve the company's competence in accelerating the achievement of carbon neutral targets through carbon trading in the country.

PLN Director of Management and Human Resources Yusuf Didi Setiarto said this step is also to support the carbon tax policy that the government will begin to implement in the near future.

According to him, as a major player in carbon trading in the country, PLN is ready to adopt the successful implementation of ETS in a number of European countries such as the Netherlands, Belgium and Germany.

"We need European guidance and experience in implementing this ETS. This sharing is very useful for us in implementing it in Indonesia," he said in his statement to VOI, Thursday 7 April.

He hopes that, through this series of workshop activities, PLN's GHG emission reduction through carbon trading will be realized effectively and efficiently. Not only that, PLN also hopes that in the future the implementation of this ETS can significantly support the achievement of the NDC target in 2030 and the carbon neutral target in 2060.

Deputy Head of Unit Policy Coordination, International Carbon Markets, European Commission, DG Climate Action Gregorin Polona explained, a number of countries in Europe have implemented the ETS scheme since 2005. Even from the ETS scheme, the member countries that are members can reap significant additional income. .

According to him, efforts to reduce global emissions must be carried out together. Collaboration between companies and stakeholders is an important key in executing carbon trading as one of the emission reduction strategies.

"In the beginning, there were indeed many parties who waited and see, but seeing the trend that continues to grow and the revenue that can be obtained significantly can encourage the involvement of many parties," said Polona.

In carrying out the ETS, continued Polona, the EU also opens a discussion room and accommodates all the aspirations of member countries. This is because each country has a different generation development or carbon reduction effort.

It is also necessary, said Polona, to be able to implement this ETS as an instrument in the company's future investment plans. "Every time there is a new investment plan that will enter, this ETS scheme can be offered. It can be an attraction in attracting investment," added Polona.

During the visit to Germany, PLN also visited RWE as one of the energy companies in Germany. RWE's Manager of Sustainability, Tobias Heck, explained the key to a successful green transition and ETS implementation at RWE.

One of them is a change in the mindset of the company and stakeholders regarding the importance of including environmental aspects as a consideration in determining business strategy and company sustainability by mapping the materiality of an issue.

In this series of knowledge transfer collaborations, PLN cooperates with ECADIN as a knowledge partner. One of the objectives of this event is PLN's re-participation in carbon trading in 2022 with a more mature system in accordance with regulations and guidelines from the Government.