United NationsDepartment of Economic and Social Affairs Sustainable Development


Addressing Energy, industrial development, air pollution/atmosphere and climate
change in an integrated manner, focusing on interlinkages and cross-cutting issues
5 May 2006, 3.00 am ? 6.00 pm, Conference Room 4
As we are addressing cross-cutting issues and inter-linkages among thematic issues, my
Delegation will also try to integrate all our views presented during the first week of
the CSD XIV.
Indonesia is also hit by the rising price of oil. Subsidy to domestic oil prices has
therefore been cut resulting in a rise in domestic price of fuel. The Government is put
again into the dilemma: if subsidy is cut, price of domestic fuel ought to be raise, and
the socio economic life of the people will worsened. In its turn, inflation will rise and
the economy in trouble as unemployment will increase, poverty also increases, climate
for investment not conducive, social disruption and rallies increasing. Subsidy being
maintained, the government budget will have to be cut, strategic programs being
threatened not to be realized. The Government is therefore committed to take all
measures in energy conservation, energy efficiency, and development of other
alternative sources of energy, particularly renewable ones.
Beside the energy crisis, a number of disasters occurring in Indonesia have also
alarmed the country in the importance of accelerating development while preserving
environment objectives and social equity. Very little tolerance will be accorded to
prolonged disasters, mostly caused by no or bad governance, as poor people in prone
areas becoming victims of these disasters. The Government is aware that all the
natural and man made disasters are just offsetting the national income. All disasters
have been aggravated by the impact of climatic change leading to global warming.
Everyone will just suffer from all these causes.
Rural areas suffer from land and forest fires, landslides, erosion, with a number of
death incidences, while urban areas suffer some air pollution generated by
transportation and industrial development poses an imminent threat to the health of
over 110 million people living in the cities. The combination of rapid urbanization, the
expanding fleet of private motorized vehicles, and fast-growing industrial production
implies that more people are exposed to more hazardous emissions than ever before.
The widespread use of leaded fuel and low-grade diesel aggravate the risks of
permanent damage to brains and kidneys for children, of respiratory illnesses and
heart diseases for adults, and of premature death of average between one to two
years for those who live in cities. As an illustration, the ADB RETA Study in 2002
estimated that the economic losses to public health in Jakarta are caused by SO2, NO2
and PM10. The calculation of the overall impact included estimates for premature
birth, restricted daily activity, hospital visits, emergency room visits, and asthma
attacks in children, asthma symptoms, and chronic bronchitis. The estimated health
effects caused by PM10 were Rp 1.7 trillion in 1998 and expected to rise to Rp 4.2
trillion by 2015; the effects caused by NO2 were around Rp 41.7 billion in 1998 and
expected to rise to Rp 132.7 billion in 2015; and the health problems caused by SO2
were around Rp 1.8 trillion in 1998 and expected to rise to Rp 4.3 trillion by 2015, all
if there were no efforts to control this pollution.
In short, local causes aggravated by global causes have brought the country into the
urgent need of implementing sustainable development principles, in order to cut the
prolonged economic, social, and environment lost from the disasters. Efforts should
first be tackled by imposing environmentally sound technology and practices, in
transport sectors, in industrial sectors, in domestic sectors, leading to a sound society
practicing sustainable production and consumption patterns, including efficient
consumption of natural resources and energy, practiced in a sound and good
The Green Indonesia Program, focusing on rehabilitation of degraded land combined
with the Industrial Rating Program focusing on environment pollution control, as well
as the green movement involving various parties from the civil society, going into a
green society, will therefore be a good direction in coping with the implementation of
sustainable development in Indonesia starting from now on at home.
As source of funding will become a major obstacles to efforts by developing countries
like Indonesia, funding from developed countries in view of the commitment of the
ODA should be sought and channeled through cooperation at sub regional, regional,
and international level, particularly in exchange of information and transfer of
knowledge and technology ought to be a parallel endeavor to the efforts.
Thank you.