No. 9 May 1997 Supplement

Country Study News

The Newsletter of the UNEP Collaborating Centre on Energy and Environment

Indonesia

The long­term and short­term national policies on climate change were defined by the National Committee on Climate and Environment in 1995.

The long­term policies include (a) developing scientific assessment and technology for a climate monitoring system and conducting research into the impacts of climate change, as well as related research, through regional and international co­operation; (b) establishing climate data information centres and climate change assessment centres, at the international, national and local levels; and © establishing a legal framework that is concerned with problems caused by the increase of greenhouse gases. The short­term policy is basically the operational approach for implementing the long-term policy.

Various studies relating to climate change have been conducted. Ongoing studies are:

The principal objective of the UNEP/GEF project is to conduct a Climate Change Mitigation Study for Indonesia using the common methodological framework for calculating the cost of climate change mitigation activities at country level. In the process of completing the study, the project will also lead to the development and/or enhancement of local capacity to undertake this task independently after the conclusion of the project.

Within the overall methodological framework the project team will conduct the following tasks with technical assistance from UCCEE/LBNL and other experts as necessary:

Develop an integrated methodology and create a database for the simultaneous assessment of mitigation options in the energy and forest sector: The methodology will make use of the MARKAL model which is currently used to analyse the mitigation options in the energy sector. This task will make changes to the model to include the analysis of options in the forestry sector, and to report on the capital investment and foreign exchange needs of each scenario. A database will be created for energy and forest sector mitigation options.

Collect cost and benefit data on forestry sector options: Forests constitute a significant portion of greenhouse gas emissions from Indonesia. An accurate assessment of the potential to reduce emissions in the forest sector, and the costs of the mitigation options, is essential in order to compare the costs with those of options in the energy sector. At the same time, forests provide a multitude of benefits which should be factored into the above analysis. The purpose of this task will be to gather the necessary data on costs and benefits in order to include them in the MARKAL analysis.

Expand the coverage of electricity efficiency in the national assessments: The current analysis of energy­sector mitigation options does not adequately treat efficiency improvement in electricity supply and use. The purpose of this task will be to collect new data on the costs of reducing transmission and distribution loss and power­generation own loss, and the use of electricity in the residential, commercial and industrial sector. These mitigation options to reduce electricity­sector losses will be explicitly represented using the new data in the MARKAL model.

Analyse scenarios of energy and forest sector mitigation at the national level: The project team will develop baseline and alternative mitigation scenarios of energy and forest sector options and analyse their costs and benefits , capital investment needs, and foreign exchange flows. The latter may be compared with national accounts in order to estimate the impact of alternative scenarios. Using the above information the project team will prepare cost curves, which will include both forest­ and energy­sector options.

Discuss sector­specific strategies for the adoption of mitigation options: Based on the above analysis, the project team will discuss alternative strategies for the adoption of the cost­effective and most appealing mitigation options. Sector­specific strategies will be discussed at the second national workshop and at the regional conference.

A national workshop was held on 18­19 December 1996 at the Agricultural University Campus in Bogor. Based on the review of work completed the Indonesian team would undertake the following tasks in the next six months: (1) run the MARKAL model including the forestry sector, (2) data on the forestry sector would be provided by Dr. Ginting and colleagues, (3) primary data would be collected for forest sector for the island of Java by May 1997, and (4) energy efficiency data would be collected and/or collated to improve their representation in the MARKAL model.

Project Coordinator: R.T.M. Sutamiharja, Ministry of State for Environment, Indonesia

UNEP Centre Project Manager: Pramod Deo

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Last updated: 30 July 1997 goma@dtu.dk
UNEP Centre Systems Analysis Department Risø