Nusantara

Net Zero
Strategy
2045

Copyright © 2023
Deputy for Environment and Natural Resources
Nusantara Capital Authority
Menara Mandiri II 5th Floor, Kebayoran Baru,
Jakarta Selatan, DKI Jakarta 12190

Website www.ikn.go.id
Instagram @ikn_id
Youtube IKN Indonesia
Facebook IKN Indonesia
E-mail deplhsda@ikn.go.id

Supported by:

Nusantara Capital Authority © 2023

 Acknowledgment
Nusantara Capital Authority has collaborated with the Asian Development Bank and
Australian Department of Foreign Affairs and Trade to prepare the Nusantara Net Zero
Strategy 2045 as an essential planning document for Nusantara. This document should
be treated as a living document, which currently contains analysis, calculations, and
recommendations based on the information available during preparation. Furthermore,
the Nusantara Net Zero Strategy 2045 should be revisited, updated, and expanded as
new information becomes available to ensure accuracy and relevance to the rapidly
changing and evolving situation surrounding the planning and development of Nusantara.

This document has also been developed through comprehensive preparation stages,
including continuous discussions with several experts, academics, related ministries and
government institutions, local and national NGOs, associations, and community groups
through workshops, focus group discussions, panel discussions, and public consultation.

SUPERVISOR SPECIAL THANKS TO

Myrna Asnawati Safitri Ministry of National Development Planning
Deputy for Environment and Natural (Bappenas), Ministry of Environment and
Resources Forestry, Ministry of Public Works and Public
Nusantara Capital Authority Housing, Ministry of Agriculture, Ministry
of Marine Affairs and Fisheries, Ministry of
PERSON IN CHARGE Transportation, Department of Geography
Pungky Widiaryanto and Meteorology, Faculty of Mathematics
Director for Forestry Development and and Natural Sciences (Bogor Agricultural
Water Resources University), Natural Resources Management
Nusantara Capital Authority (Bogor Agricultural University), Natural
Resources Management-PSL (Bogor
AUTHORS AND EDITORS Agricultural University),Research Center for
Pungky Widiaryanto, Nigel J. Landon, Climate Change (University of Indonesia),
Agus Pratama Sari, Wiwandari Handayani, Faculty of Geography (University of
Andrea Bassi, Timothy C. Jessup, Anisa Indonesia), School of Environmental
Muslicha, Simon Field, Sidqy Yusuf Suyuti Sciences (University of Indonesia), PT.
Purboyo, Brijgopal Ladda, Rajkumar PLN, Coastal Working Group, Indonesia
Ilavarasan, John Vong, Tessa Morton, Mega Environmental Scientists Association
Anggraeni, Niken Pradonawati, Alicia (IESA), Low Carbon Development Indonesia
Beandda (LCDI), Indonesian Solid Waste Association
(InSWA), Arsari Enviro Industry, Pro Natura
CONTRIBUTORS Foundation, Green Building Council, WWF-
Deputy for Green Transformation and Indonesia, Borneo Orangutan Survival
Digital (Nusantara Capital Authority), Foundation (BOSF), Yayasan Konservasi
Deputy for Funding and Investment Alam Nusantara (YKAN)
(Nusantara Capital Authority), Asian
Development Bank, Australian Department
of Foreign Affairs and Trade (DFAT)

DESIGN AND LAYOUT

Derzia Graphic House and Alicia Beandda

Nusantara Capital Authority ©2023 | 1

 Foreword Table of Content

1. Nusantara, Indonesia New Capital As Net Zero City 4

2. RLDC: Nusantara Roadmap To Achieve Net Zero 6
3. Nusantara Goes Beyond Net Zero Emissions, and aims 10
to become a Carbon Negative Capital City
4. Strategies to Achieve a Net Zero City 14
It is with great pleasure and enthusiasm that I introduce the publication of Nusantara’s Strategy I: Forestry and Other Land Uses (FOLU) 16
Net Zero Emission Strategy. This document affirms the commitment of Nusantara, the new
capital of Indonesia, to achieving net zero emission by 2045. This net-zero goal aligns with Strategy II: Energy 18
Indonesia’s broader objective to tackle climate change by 2060 or even earlier.
Strategy III: IPPU 20
The Nusantara Capital Authority, in collaboration with various stakeholders, is actively
developing an action plan to transform these goals into reality. Central to this initiative is Strategy IV: Waste Management 22
this strategy, which aims to help us meet ambitious climate targets while addressing the
unique challenges faced by our new capital. Strategy V: Agriculture 24
The Strategy outlines Nusantara’s Regionally and Locally Determined Contributions 5. Nusantara as A Climate Resilient City 26
(RLDCs), which plays a vital role in aiding Indonesia’s efforts to reduce greenhouse gas
emissions and adapt to climate change. These local actions are in line with the nation’s 6. Nusantara as A Nature Positive City – The Link 28
Enhanced National Determined Contributions, forming an integral part of a larger strategy
that links to national policies outlined in the ENDC. Between Climate and Biodiversity
Furthermore, the RLDCs align with various national and local plans. These include the Action 7. Monitoring System 32
Plans to Reduce Greenhouse Gas Emissions, the National Medium-Term Development
Plans for 2020-2024 and 2025-2029, and Indonesia’s Low Carbon Development Initiative. 8. Just Transition 34
We hope this document will inspire other cities to take decisive steps in fighting climate 9. Financing Scheme 36
change through both mitigation and adaptation strategies.

Bambang Susantono
Chairman, Nusantara Capital Authority

2 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 3

 1 Nusantara, Indonesia New
Capital As Net Zero City
In 2024 Indonesia will establish the new city of Nusantara as its national capital. Designed as a “smart forest city,” Nusantara is being planned and built to lead
With ambitious goals to become a clean, climate-resilient, sustainable and livable the way towards achieving Indonesia’s vision of becoming a sovereign, advanced,
city, Nusantara will be aligned with supporting Indonesia’s efforts to mitigate just and prosperous archipelagic nation by 2045 (Vision of Indonesia 2045) and
and adapt to climate change as set forth in its Enhanced Nationally Determined to achieve net zero emissions, in all sectors by 2060 or sooner (Long-Term Low
Contribution under the Paris Agreement. Carbon and Climate Resilience Strategy).

Nusantara embodies the vision of a modern and sustainable Indonesia. Indonesia The vision for Nusantara is to create a modern capital city that aims to balance
aspires to be a high-income country that sits among the seven largest economies emissions reduction, green economic growth, climate justice, climate-resilience,
in the world by its centenary anniversary in 2045. The new capital symbolizes and and socially inclusive development.
facilitates this aspiration. It is envisaged to be a smart and sustainable city.

65%

N U S A N TA R A
EAST KALIMANTAN

natural forest
biodiversity and
ecological connectivity
JAKARTA

SAMARINDA
The concept of Nusantara as a ‘forest city’ is reflected in the plan
for land use within the region, with nearly 200,000 hectares
(65%) of the area set aside for natural forest and marine

BALIKPAPAN
reserves, including ‘green’ (terrestrial) and ‘blue’ (aquatic)
corridors to enhance biodiversity and ecological connectivity.
It will be a

“ City in the forest

The remaining 56,000 hectares will be developed as built-up urban areas
with a forest interspersed with green space. The installation of renewable energy aims to meet
in the city
“
100% of Nusantara’s energy needs, by 2045 or earlier, and at least 60% of solid
with the target to become a resilient, net zero city by 2045. waste is targeted to be recycled by 2045.

4 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 5

 2 RLDC: Nusantara Roadmap
To Achieve Net Zero
In order to achieve net zero emissions by 2045, Nusantara Capital Authority (NCA) In Indonesia, national policies need to be implemented at all levels, including
created an action plan, named Nusantara’s Regionally and Locally Determined in sub-national jurisdictions and communications with the UNFCCC need to be
Contributions (RLDC). carried out via the National Focal Point of the UNFCCC in Indonesia. As such,
the RLDC is and shall be an integrated implementation strategy of its national
The concept of the RLDC was originally coined by the European Commission, under policies, notably its latest NDC and LTS-LCCR and not an independent policy from
the European Committee of the Regions (ECR) to support a formal recognition of prevailing national climate policies.
the role of cities and regions in tackling climate change as in the implementation
of the Paris Agreement and to back a system of RLDC as a way to formally The RLDC is a road map as well as an implementation and investment plan
acknowledge, monitor, and encourage the reduction of carbon emissions by cities identifying the efforts needed to mitigate and adapt to climate change. It is
and regions globally under the United Nations Framework Convention on Climate regional in that the new capital district covers a substantial area (2,561
Change (UNFCCC). It stems from the recognition that cities and districts are square kilometers—more than three times the size of Singapore) and will
smaller than direct subnational jurisdictions such as states and provinces. have the administrative status of a Province. It is also local in that the
various districts and communities within the capital region will participate
fully in the decisions and actions needed to achieve Nusantara’s climate
ambitions.

The RLDC aims to define the pathway to achieve a resilient and net zero Nusantara.
Specifically, this overall objective is broken down into three major outcomes, as
“ RLDC is a sub-national follows:

implementation strategy of
national climate change policies
Nusantara aims to reach Nusantara aims Nusantara aims to be
in Indonesia embodied in its net zero by 2045 or to reverse the a resilient city, with
Enhanced Nationally Determined earlier, which is at deforestation trends adaptive capacity to
Contribution (ENDC) in the least 15 years ahead and become a net withstand the potential
jurisdiction of Nusantara. “ of the national net zero carbon sink in the FOLU impacts of climate
emissions target to be sector by 2030 or earlier change.
reached by 2060 or in accordance with the
earlier. national FOLU net sink
target.
6 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 7
 This RLDC Roadmap contains the following three major components:

The Green Economy Nusantara (GENUS) is a

bespoke system dynamics model based on the
model structure used in Indonesia’s NDC and LCDI,
the Indonesia Vision 2045 (IV2045), which itself
is based on a Green Economy Model (GEM). The
model shows the economic implications of emission
reduction policies and targets and develops a set of
policy scenarios.

The Action Plan shows time-bound policies and

actions to reach the objectives; and

The indicative financial and investment plan

with a project pipeline, as well as an assessment of
resource mobilization needed to finance the policies
and actions in the Action Plan.

8 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 9

 3 Nusantara Goes Beyond Net
Zero Emissions, and aims to
become a Carbon Negative
Capital City
The RLDC roadmap shows a pathway that Nusantara will need to follow in order to Business-As-Usual. With 4,3
be able to fulfill its mandate fully, becoming a net zero emissions city by 2045, or million tons of carbon dioxide
earlier.
BAU (MtCO2) released by 2024,
emissions in Nusantara will
Quantitative studies to fulfill this mandate are carried out through simulations increase to 10,8 MtCO2 in 2045.
using a system dynamics model called the Green Economy Model for Nusantara
(GENUS). This model uses the same logical structure as the model used to
assess Indonesia’s Nationally Determined Contribution (NDC) to the Low Carbon
Development Initiative (LCDI) program. This model creates three scenarios with In line with the Master Plan
(Presidential Regulation No.
CM1
the result that by 2045.
63/2022), total emissions in
The BAU scenario was formulated assuming that Nusantara will be built using Nusantara became negative, -1,1
the same type of infrastructure, power generation mix, transport modes, and MtCO2 in 2045.
waste management practices found in Jakarta. Data on emissions for Jakarta
(e.g. emissions per person from energy use and power generation, and waste
management) are obtained from the GHG inventory for Jakarta. Targets stronger ambitions,
CM2 emissions in 2045 can be reduced
Emissions-reduction commitments and targets to be met unconditionally, with even further to -1,6 MtCO2.
Indonesia’s own resources, are incorporated in the ‘Master Plan Scenario’
(Counter Measure scenario - CM1), in which Nusantara is built according to
the Nusantara Indonesia New Capital City Master Plan established in 2022.
The ‘Enhanced Scenario’ (Counter Measure scenario - CM2), incorporates
even more ambitious mitigation commitments and targets than those in
the Master Plan Scenario, that may be achieved with additional national and
international assistance.

10 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 11

 10.81
Total GHG Emission

MtCO2/Year
from 3 Scenarios 7.86

-115.0%
-110.6%
4.38

1.36
The RLDC meticulously outlines specific actions and approaches to achieve the net 1.02
-1.15
zero goal through tangible efforts. Delving into priority sectors as mirrrored in the -1.67
ENDC such as Forestry and Other Land Use (FOLU), Energy, Waste Management,
Industrial Processes and Production Use (IPPU), Construction, and Agriculture.

GHG Emission Level (tonCO2/year)

BAU CM1 CM2 CM1 vs BAU CM2 vs BAU

Sector
2045 2030 2045 2030 2045 2030 2045 2030 2045 2030 2045

1. Energy 2,581,443 6,945,299 10,074,688 935,054 277,186 680,009 0 -86.5% -97.2% -90.2% -100.0%

2. Waste Management 90,338 243,051 352,564 112,215 182,096 83,202 133,919 -53.8% -48.4% -65.8% -62.0%

3. IPPU
(and construction) 0 0 0 0 0 0 0 0 0 0 0

4. Agriculture 215,345 207,271 189,913 187,783 184,228 187,102 182,581 -9.4% -3.0% -9.7% -3.9%

5. FOLU 1,491,841 458,359 196,864 128,515 -1,793,235 74,661 -1,933,858 -72.0% -1010.9% -83.7% -1082.3%

Total 4,378,967 7,853,980 10,814,029 1,363,568 -1,149,724 1,024,973 -1,671,358 -82.6% -110.6% -86.9% -115.0%

12 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 13

 4 Strategies to Achieve
a Net Zero City CM1 CM2
STRATEGY I STRATEGY I

FOLU Avoiding deforestation

Forest restoration of 45% of total land
FOLU Avoiding deforestation
Forest restoration of 47% of total land
Protecting natural mangrove Protecting natural mangrove
Law enforcement and fire control Law enforcement and fire control
Community based forest management Community based forest management

STRATEGY II STRATEGY II 100% renewable sources for electricity in 2030

ENERGY 100% renewable sources for electricity in 2030 ENERGY “10-minute” city design
“10-minute” city design 80% of motorized mobility served by public transpor
80% of motorized mobility served by public transport 100% electric vehicles by 2045
100% electric vehicles by 2045 No city gas distribution network
All energy demand is fulfilled in the form of electricity

STRATEGY III STRATEGY III Use of more efficient cement in the construction
IPPU IPPU Use 50% supplementary cementitious materials (SCM)
Use of more efficient cement for construction Use of recycled concretes
Use 25% supplementary cementitious materials (SCM) Carbonization of concretes
Establishing top-of-industry factory that is produces the most
efficient and the least carbon-intensive cement

STRATEGY IV STRATEGY IV

WASTE 85% reduction of waste from organic waste composting WASTE 100% reduction of waste from organic waste composting
80% of waste collection 100% of waste collection
60% of waste recycling 80% of waste recycling

STRATEGY V STRATEGY V

AGRICULTURE AGRICULTURE
Sustainable practices from 2045
Sustainable practices from 2045
Zero emissions irrigation (no agriculture irrigation)
Zero emissions irrigation by 2045 by using solar water pumps.
Application of biochar in agricultural lands
Regenerative agricultural practices
Regenerative agricultural practices
Agroforestry will be applied in ex-plantation area
Agroforestry in several degraded forest areas

14 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 15

 STRATEGY I

Forestry and Other

These strategies are in line with the commitment to make Nusantara a forest city.
Conservation, rehabilitation, and increasing forest area are not only beneficial for

Land Uses (FOLU)

reducing emissions and increasing carbon sequestration, but also maintaining
biodiversity and wildlife habitats, providing ecosystem services such as water
resources, and providing livelihood opportunities for communities through the

Reverse Deforestation to management and use of forests and mangroves.

Reforestation
The FOLU sector is the most cost effective and strategic sector in reducing emissions Land emissions
in Nusantara. The Master Plan mandates the expansion of forest area to 65% of
Nusantara’s total area, or around 167,000 hectares (ha).
1.49

MtCO2eq/Year
This will be achieved by: 0.46
0.13 0.19
0.07

Avoiding or reducing Enhancing carbon stock Providing livelihood -1.79

deforestation by restoring opportunities -1.93
by protecting about more than for communities
through the
59,000 ha 83,000 ha management and
use of forests and
of natural forests and of remaining industrial
mangroves.
mangroves that still forests as well as
exist deforested land and
coal mining sites

16 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 17

 Emissions in the energy sector will peak in 2028 and will be reduced to zero by
2030 and remain zero until 2045. From around 95 MtCO2 in 2024, power sector
emissions will peak at around 600 MtCO2 by 2028 and then fall to zero by 2030
when energy needs can be met entirely by renewable sources. This is because
before 2030 Nusantara will still have to use non-renewable energy sources,
STRATEGY II including those already around Nusantara.

Energy The construction of renewable energy sources using solar panels will commence
by 2024 with 50 megawatts (MW) and will eventually meet all energy needs in

No Fossil Fuel for 2030 and 2045.

Energy, Electricity and Electric Vehicle will serve

Transportation motorized City Gas will serve

CM1
100% mobility limited household
needs (cooking)
by 2040
Electric Vehicle will serve
motorized

CM2
100% mobility No City Gas Grid
by 2030

Energy emissions

10.07

MtCO2eq/Year
6.94

2.58 0.93
0.68 0.28
0.00

18 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 19

 There will be no emissions from the IPPU sector in Nusantara. Carbon dioxide is
released in the production and use of certain materials, in addition to the energy
STRATEGY III

IPPU
use in the production process of such materials. These materials include cement,
iron and steel, and some chemical industries.

Green Building Design and In Nusantara, there is no such industry, and as such emissions from the IPPU
sector is zero. Emissions can be limited through the use of low-carbon building

Material materials and design. By using cement and building design as usual in Indonesia,
emissions will reach around 0.9 MtCO2 by 2045 (1.2 MtCO2 in 2024).

2045
By using cement with the latest low-carbon
technology, this emission will drop to

43%
0.5 MtCO2
Building materials such as cement have a fairly high embodied emissions
content from the production process. Because the production process is not
in Nusantara, the emissions are not counted as Nusantara emissions. If a
cement factory with the latest technology is built in Nusantara, then these
emissions will be calculated as Nusantara emissions.

20 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 21

 Waste management will be carried out through a Reduce, Reuse, Recycle (3R)
system with a circular economy approach.

STRATEGY IV
2045
60% recovery and recycling of waste, using
the 3R, circular economy approach

Waste
Management 40% will be processed into energy (waste
to energy) and / or products (waste to product) with
a minor 10-12% non-recoverable residue going to
Reduce, Reuse, Recycle landfill.

and Circular Approach

Waste collection follows good principles and practices in sorting, collecting,
transporting, processing, recycling, and reducing waste residues. Reducing the
amount of waste sent to the Final Treatment Site (TPA) through recycling and
composting contributes to reducing emissions and minimizing the need for landfill
space.

Waste Management Emissions

0.35

MtCO2eq/Year
0.24

0.18
0.09 0.11 0.13

0.08

22 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 23

 Irrigated rice and aquaculture are projected to be the main sectors emitting
greenhouse gases in the agriculture sector, even if carbon emission-reducing
technologies are adopted. If the aim is to have zero greenhouse gas emissions
STRATEGY V in the agriculture sector, then no irrigated rice or aquaculture can be developed

Agriculture within the boundaries of Nusantara.

Climate-Friendly
Regenerative agriculture practices, particularly agroforestry, permaculture, urban
farming, and tree crop farming, will enable Nusantara to sequester significant

Agriculture amounts of carbon, on the order of 30 tCO2/ha/ year. Farmers will need support
to transition to regenerative agriculture farming systems. Priority should be given
to investing in tree crops that will help address the food security needs of the 2
million people in Nusantara and improve household income.
The agriculture sector can become a net carbon sink if regenerative agriculture
practices are fully adopted. All agriculture waste should be converted to biochar and used as a soil ameliorant
to improve soil fertility and store carbon in an inert form. Agriculture waste includes
Under the Master Plan scenario, about 4.6 MtCO2e is projected to be poultry and livestock manure, crop residues, and other agriculture waste products.
sequestered in 42,194 ha of dryland agricultural areas. Under the Centrally located biochar facilities can be developed through PPP arrangements
Enhanced scenario, the area allocated to agriculture is reduced to 25,703 with farming communities.
ha to align with the overall policy that 10 percent of the land will be
allocated to agriculture while the remaining 17,000 ha will be developed
Agriculture Emissions
for agroforestry - that is, as a forested area with agricultural functions.
0.215
0.207

MtCO2eq/Year
This is projected to result in about 2.5 MtCO2e being sequestered in the
dryland agricultural area. 0.187 0.189
0.184
0.187
0.182

24 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 25

 Risks Action
Fire 1. Establish local policy and regulations applied to the Nusantara
jurisdiction;
2. Develop fire prevention and mitigation strategy, guidelines,
and protocols;
3. Raise awareness, educate, and train internally the NCCA staff
and contractors, among local businesses and private sector,
and among local communities for fire prevention and mitigation;
4. Establish a multi-stakeholder forum on fire management;
5. Acquire, maintain, and use sufficient devices to monitor leading
5 Nusantara as 6.
indicators that can show fire risks;
Consolidate all fire-related indicators into a digital platform to

A Climate Resilient City 7.

allow for monitoring and early warning of an increased risk;
Acquire devices to mitigate fires;
8. Train fire brigades;
9. Provide sufficient budget to prevent and mitigate fire
occurrences with simple mobilization procedures.
Nusantara strives to be a climate-resilient city. This will be achieved through
economic resilience, social and livelihood resilience, as well as ecosystem Flood and 1. Apply Nature Based Solutions in water management;
2. Develop the flood and landslide early warning systems are a
and landscape resilience. Special attention will be paid to food security and Drought part of the smart city concept. Also included are adequate
the risk of droughts, fires, floods, and illegal land use. Along with the growth monitoring of discharge and water levels, signs of flood and
landslide risk, emergency action plans, and river boundary
of new cities in Nusantara, by 2045, adaptation efforts can reduce the risk to arrangements;
the projected maximum population of 1.9 million people. Adaptation efforts are 3. Efforts to reduce disaster risks to the community are carried out
through the inclusive development of community preparedness
expected to encourage the people of Nusantara to survive, adapt, and transform capacity;
towards a climate-resilient Nusantara. 4. Mainstreams the issue of climate change as part of developing
spatial plans;
5. Forest reforestation, a process to maintain land cover,
Climate change poses increasing risks to people’s lives and will contribute to ecosystems, and green corridors increases the infiltration of
rainwater into the soil;
ecosystem degradation in Nusantara and the surrounding region to all aspects of 6. Planning for an integrated and sustainable water supply system
life, both the environment and society. Hydrometeorological anomalies contribute is part of efforts to reduce the impact of drought in Nusantara.

to natural disasters and impact health, agriculture, and livelihoods. Temperatures Food Security Developing plant-based food production and by being responsive
and rainfalls in Ibu Kota Nusantara are predicted to continue to rise and threaten to innovations in health and wellness trends, focusing on vegetable
proteins, herbs, nutrients, and plant extracts as the adaptation
climate risk (disasters, health, and environmental impact). plants may fill the basic needs of the community in Nusantara.

Health 1. Provide access to quality and equitable health;

2. Develop a cost-effective and best-in-class pharmaceutical
industry;
3. Develop strategy is to support the better delivery of medicines
to meet domestic demand which in turn strengthens health
resilience, and the healthcare system, including preparedness
for handling pandemics and disasters.

26 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 27

 6 Nusantara as
A Nature Positive City –
The Link Between Climate and
Biodiversity

Indonesia is one of the most biologically diverse nations on Earth.

12%
of the world’s mammals
(515 species)

16%
of the world’s reptiles
Biodiversity Richness
(781 species)
in Nusantara
35 species 10,000 to 15,000
of primates
SPECIES OF FLOWERING PLANTS
25
3,000 MAMMALS

Nusantara is located in East Kalimantan on the island of Borneo and is part SPECIES OF TREES such as

> 2,000
of the Sundaland biogeographic zone which is considered one of the richest the Bornean Orangutan,
biodiversity hotspots on Earth. The island has a highly diverse and abundant Proboscis Monkey, and
ORCHIDS
terrestrial and marine flora and fauna, both in terms of species richness and the (Endangered) Irrawaddy
population size. 1,000 dolphin, which are found in
FERNS and around Balikpapan Bay.

28 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 29

 Indonesia is an early signatory to the Convention on Biological Diversity (CBD), and Nusantara, is envisioned to be a Smart Forest City with low carbon emissions.
has made significant commitments to protect its rich biodiversity and contribute to Nusantara also has the “65x30” Biodiversity target (65% of its area as a
global environmental conservation efforts. Biodiversity and habitat conservation protected area in 2030, even earlier). It is beyond the Global Biodiversity
are intrinsically linked with Nusantara’s climate resilience and net zero target. Framework “30x30”.

In line with national and International commitments, the Government of Indonesian Nusantara’s aim to rehabilitate, conserve and protect biodiversity in terrestrial
issued Presidential Instruction Number 1 (January 2023) on Mainstreaming and marine ecosystems, will produce co-benefits beyond increasing carbon
Biodiversity Conservation in Sustainable Development. stocks and reducing emissions:

Nusantara, as a Forest City, will aim to maximize forest

areas providing homes to diverse animal and plant species.
The Nusantara Capital Authority is one of the first Forest areas will be linked by wildlife corridors ensuring ecological
authorities in Indonesia to prepare a Biodiversity connectivity and strengthening biodiversity.
Management Master Plan which embodies global
Forests also provide hydrological functions maintaining
(Global Biodiversity Framework) and national goals
water catchments, reducing erosion, flood risks and water
and objectives for protection and management of
retention and storage capacity. Increasing forest cover will
biodiversity.
increase water catchment capacity and water security for
Nusantara and reduce climate related flood risks.

Involving indigenous and local communities in

The vision of the Nusantara Biodiversity Master Plan is to realize a sustainable
reforestation and forest stewardship programmes both
forest-city development that contributes to global biodiversity conservation goals.
increases their capacity and awareness of the benefits of
The objective is to provide the direction and strategy for biodiversity management
maintaining a biodiverse environment, ensures their knowledge
in a structured, systematic, and measurable way that can be implemented
and practices are valued and integrated into the conservation
realistically and effectively.
efforts, generates sustainable income that is not reliant on
destructive deforestation and mining activities, and ensures
that forests are safeguarded and maintained by communities.

30 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 31

 7 Monitoring
System

The progress of efforts towards achieving net zero emission and improving
Nusantara’s climate resilience will be monitored both locally by the Nusantara
Capital Authority and by the central government. A dashboard will be built in
Nusantara Capital Authority showing actions/achievements to meet emission
limits and reductions, as well as other key indicators. As part of the adaptation
and Disaster Risk Management strategy, key climate indicators such as air,
temperature, humidity, rainfall, wind direction and speed, will be monitored, and
will be cross checked against potential resulting increase to the threat of fires,
droughts, and flooding.

The information on performance

and achievements of the
RLDC will be monitored and
publicly reported regionally and
locally using an approach and
methodology consistent with
those prevailed nationally and
internationally, to and through
the national government,
especially through the National
Registry System (Sistem
Registri Nasional, SRN) as a part
of its “One GHG Data Policy”

32 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 33

 8 Just
Transition
When it is completely constructed and inhabited, Nusantara has the potential Phasing out of coal-fired steam power plants will also reduce, even
to be a model for Indonesia’s sustainable, low-carbon, and climate resilient eliminate, the demand for coal that eventually will reduce coal productions.
development. Transitioning from a carbon-intensive economy such as that in The people currently working in coal-fired steam power plants and those in coal
Indonesia to sustainable and renewable-based development is necessary to mines will have their jobs eliminated in the future. Areas with strong dependence
avoid worsening the climate crisis. When it becomes a fully functional city, it will on coal production will also be negatively affected. Moreover, areas that contain
not only be a liveable city, but also lovable. substantial deposits of materials that are needed in the renewable energy
ecosystem may also be affected by the sudden rush to mine these materials. These
The extra emphasis on the use of renewables will develop the industrial ecosystem unintended consequences need to be addressed properly and comprehensively.
for renewable energy productions either for domestic use or to fulfill export markets. Establishing Nusantara in the fossil fuel-rich region, therefore, is a strategic
This will further develop the industrial capability to support renewable energy direction for nationwide regionally just energy transition.
ecosystems domestically and internationally. In addition to renewable ecosystem
development, Nusantara will also develop other high-value-added industries to There may be unintended consequences in the development of Nusantara, but
move away from resource-based economies, especially the non-renewable ones. they should not victimize local and marginalized communities.

Nusantara will facilitate transition and reorientation of the economy in East

Kalimantan as the largest producer of coal. East Kalimantan has been greatly
dependent on fossil fuel production. It is the largest coal-producing province in
150,000
local communities have settled in the
Indonesia and among the largest oil and gas-producing provinces in Indonesia. area before the site to build Nusantara
was established.
As such, global and nationwide energy transition will affect the economy of East
Kalimantan. The transition may have unintended consequences that are not fairly
distributed and some people will be victimized more than others. These people may be affected by the development of Nusantara. Development
of new settlements, public amenities, even new protected forests may lead to
their relocation. Whenever relocation is unavoidable, it needs to be carried out
as amicable and with free and prior informed consent while providing sufficient
benefits. This may not be easy. The more ambitious Enhanced scenario
recommends minimizing relocation, if not avoiding it all together.

34 | Nusantara Net Zero Strategy 2045 Nusantara Capital Authority ©2023 | 35

 9 Financing
Scheme

For the overall development of Nusantara, the government of Indonesia has

Please scan here for
committed to fund approximately 20% of the total investment cost and is seeking the digital version of
investment from the non-governmental and private sector to cover the remaining this document and the full report
or go to the link below:
80%.
https://ikn.go.id/NetZeroNusantara

For this reason, funding will be required from non-governmental sources such as:

Domestic and foreign private investment

Banking funding

Market-based public funding such as debt securities

Multilateral and bilateral funding

Domestic and foreign philanthropy

Climate-specific finance

Ecosystem service markets such as domestic and

international carbon markets.
For example, Nusantara is currently developing climate
financing through a Forest Carbon Project.

36 | Nusantara Net Zero Strategy 2045