Jakarta (ANTARA) - Minister of Finance Sri Mulyani Indrawati has said that she is looking for the right moment to implement the carbon tax in view of the current disruption in the energy sector.

"We have to calculate the implementation so that it remains beneficial for our own economy, especially for energy diversification later," she informed after the House of Representatives (DPR) Budget Agency Work Meeting here on Monday.

At the same, she stressed that the government is handling the uncertainty from overseas, especially in energy prices that are currently spiking.

Moreover, Europe and Russia are cutting off gas supplies, prompting the further utilization of coal.

According to the state treasurer, the situation in Europe and Russia needs to be considered very carefully when formulating energy policies, including on carbon tax.

"We will continue to formulate it. We continue to design the rules and regulations," she remarked.

The formulation of a carbon tax implementation policy is very important given the threat climate change is posing to the world, especially Indonesia.

The carbon tax implementation will consider the economic condition, not just state revenue, Deputy Minister of Finance Suahasil Nazara said.

Related news: Need supporting policies to reduce social impact of carbon tax: BRIN

"This is an ecosystem problem. At any rate, we will consider the readiness of the entire ecosystem first," he added.

The government is currently determining how much carbon can be emitted per economic sector before creating the carbon market. Thus, emission-producing companies can seek carbon credit within the market, he explained.

Earlier, head of the ministry's Fiscal Policy Agency (BKF), Febrio Kacaribu, had said that the ministry has deferred its plan to implement the carbon tax from July 2022.

"The government considers to review the implementation of the carbon tax in July 2022," he informed at a press conference here.

Related news: Govt defers carbon tax implementation





Translator: Agatha Olivia V, Fadhli Ruhman
Editor: Rahmad Nasution
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