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Seminar on Climate Actions and The Join Crediting Mechanism (JCM) in Indonesia

Aryaduta Hotel, Tugu Tani, Jakarta Februay 7th 2019   Indonesia is one of the countries in the world that has strongest commitment in emission

Aryaduta Hotel, Tugu Tani, Jakarta

Februay 7th 2019

 

Indonesia is one of the countries in the world that has strongest commitment in emission reduction. Since G-20 summit in Pittsburgh in 2009, Indonesia had stated measurable national emission reduction target which is 26% from greenhouse gas (GHG) as projected in 2020.

Furthermore, Indonesia government also has stated the commitment to UNFCCC through Nationally Determined Contribution (NDC), to reduce 29% of the emission as projected in 2030 (without international support) and emission reduction in the amount of 41% with international supports.

In the means of emission reduction effort while achieving sustainable economic growth, Indonesia and Japan government built implementing cooperation of JCM (Joint Credit Mechanism). JCM bilaterally forms a market-based mechanism that enables Japan private sectors to cooperate with Indonesia private sectors in implementing low-carbon activities since October 2013. Through this partnership,  Japan and Indonesia expect that JCM could contribute in achieving both countries’ target in emission reduction as well as technology transfer. Seminar on Climate Action and the Joint Crediting Mechanism that held by Coordinating Ministry for Economic Affairs in cooperation with Institute for Global Environmental Strategies (IGES) presented the latest progress of JCM implementation in Indonesia. Mr. Rizal Edwin Manansang as Co-chairman of Indonesia JCM Joint Committee also stated that JCM had given significant advancement nationally for Indonesia.

Indonesia now had implemented 35 JCM projects which total of investment is worth more than 130 million USD. Until February 2019, energy conservation is still the highest among all categories implemented. So far, the biggest JCM project that has been implemented in Indonesia is 32 MW waste heat recovery which costs USD 51 million and reduced emission up to 122.000 ton CO2 annually.

Head of JCM Indonesia Secretariat, Mr. Cahyadi Yudodahono, explained that the potency of JCM project implementation in Indonesia is still widely open. There are 3 types of subsidy model that can be used by project participant under the JCM scheme.

Another speaker, Mr. Dida Gardera from Coordinating Ministry for Economic Affairs, stated that implementation of JCM is an excellent learning for Indonesia to face the first period of Paris Agreement (2020-2030) in achieving emission reduction target. IGES speaker, Mr. Kentaro Takahashi, also said that JCM implementation is one of the good lessons for Japan and its partner countries in implementing Article 6 in Paris Agreement. Furthermore, JCM will be a part of implementation in Article 6, which discussed market and non-market mechanism funding.

In the last session, two of project participant conveyed their experience in JCM implementation. Mining and Energy Local Enterprise, Perusahaan Daerah Pertambangan dan Energi (PDPDE), from South Sumatera represented by Mr. Arief Kadarsyah, has built 2MW solar cell power generator in collaboration with Japan Sharp Corp. This power generator has functioned to supply electricity to Jakabaring Sports Stadium in Palembang, especially for Asian Games 2018. After Asian Games, this power generator sells its supply to PLN and is planned to develop the same type of generator in Bangka Island with 10MW capacity.

Last speaker is from Semarang Public Service Agency, Mr. Ade Bhakti spoke aboutimplementation of gas converter project in TransSemarang buses. These buses previously used Solar fuel as its source of energy. With the success in implementing gas converter for 72 buses in Semarang City, Ministry of Transportation Indonesia drives other cities to do similar implementation.

Seminar on The JCM Implementation : Accelerating Low Carbon Development Through JCM Scheme

Jakarta 24 July 2018, Ministry of Environment Japan (MOEJ), Global Environment Centre (GEC), in close collaboration with the Coordinating Ministr

Jakarta 24 July 2018, Ministry of Environment Japan (MOEJ), Global Environment Centre (GEC), in close collaboration with the Coordinating Ministry for Economic Affairs and JCM Secretariat Indonesia jointly organized “Seminar on the Joint Crediting Mechanism (JCM) Implementation in Indonesia: Accelerating Low Carbon Development through JCM Scheme”. This annual seminar disseminates the bilateral cooperation between Government of Indonesia and Government of Japan on climate change mitigation namely Joint Crediting Mechanism. This cooperation aims to reduce the greenhouse gases and improve environment qualities as well as keep maintaining economic and social development. JCM as a bilateral climate change mitigation initiatives from Japan has exhibit its capability in contributing, not only to the national’s carbon emission reduction target, but also providing technology transfer and capacity building to the partner countries. 

The bilateral agreement of the JCM to support low carbon development in Indonesia has been signed in August 2013. To date, 115 feasibility studies have been conducted under the JCM scheme. Further, there are also 34 projects which are now implemented with total expectation of emission reduced up to 291,345 tCO­2/year. From 34 projects, it is noted that there are 13 projects have been registered and 4 projects have issued their emission reduction credit with a total of 357 tCO2.

This seminar was attended by various participants, from the government officials, the business practitioners from both countries, the academician, researchers. During the seminar various discussion were presented starting from explaining the general and detail information of Joint Crediting Mechanism, the information of the JCM financing scheme, the low-carbon development cooperation under city to city cooperation between City of Japan and Indonesia, the project implementation of renewable energy and energy conservation. Further, this seminar also engaged the participants to contribute and discuss further on the panel discussion session and consultation table.

Measures are being taken by the Government of Indonesia in ensuring the JCM activities bring positive impacts and comply with the existing rules and regulations while promoting green investment and private sector participation in greenhouse gas emissions reduction and low-carbon development. Moreover, the JCM is expected to promote co-benefits such as employment, environmental quality improvement, and others in the framework of sustainable development.

 

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*Presentation materials can be download here.

The Eighth Joint Committee Meeting (10 July 2018) in Aryaduta Hotel, Jakarta

On 10th July 2018, The Government of Japan and The Government of Indonesia has conducted the annual bilateral meeting, The 8th Joint Committee Me

On 10th July 2018, The Government of Japan and The Government of Indonesia has conducted the annual bilateral meeting, The 8th Joint Committee Meeting in Jakarta. This meeting was attended by Joint Committee members from both countries.

Some of decision made during the meeting, such as:

  • Possible extension of the JCM
  • Revision on JCM rules and guidelines : Editorial Matters
  • Approval of 2 proposed methodologies
  • Registration of four (4) projects:
  1.  “Power generation by waste heat recovery in the PT Semen Indonesia (Persero) Tbk”;
  2. "Energy saving by optimum operation at an oil refinery";
  3. "Reducing GHG emission at textile factories by upgrading to air-saving loom";
  4. "Installation of Tribrid System to mobile communication’s Base Transceiver Stations in Republic of Indonesia".

 

  • Issuance of JCM Credits :
  1. ID001 “Energy Saving for Air-Conditioning and Process Cooling by Introducing High-efficiency Centrifugal Chiller”;
  2. ID004 “Energy Saving for Air-Conditioning at Textile Factory by Introducing High-efficiency Centrifugal Chiller in Karawang West Java”;
  3. ID005 “Energy Saving for Air-Conditioning at Textile Factory by Introducing High-efficiency Centrifugal Chiller in Batang, Central Java (Phase 2)”;
  4. ID006 “Installation of Inverter-type Air Conditioning System, LED Lighting and Separate Type Fridge Freezer Showcase to Grocery Stores in Republic of Indonesia”.

You can find the detail document here.