In a statement here, on Thursday, Sugiarto said that several regional governments have implemented good practices, such as Earth Hour Indonesia and Car Free Day (CFD). He cited the success of the CFD, which was well-managed and orderly by the Governor of DKI Jakarta.
However, he noted that the implementation of CFD in a number of regions was still not optimal.
Instead of focusing on maintaining environmental quality, these activities are often carried out symbolically or ceremonially, even giving rise to impromptu markets that actually add to the pollution problem.
"So, let us remind you again that the goal of Car Free Day is to address environmental issues, not economic issues, welfare issues, or entertainment for residents," Sugiarto remarked when opening the Sustainable District Outlook 2025 event at the Indonesia Convention Exhibition (ICE) BSD City, Tangerang District, Banten, Wednesday.
On that occasion, Sugiarto invited the Regional Governments to utilize the Ecological Fiscal Transfer (EFT) scheme to strengthen regional budget commitments for environmental issues.
This scheme, he said, must be implemented in a targeted manner to have an impact on reducing emissions and preserving the environment.
He cited the implementation of EFT in several regions, such as Aceh Province and North Kalimantan, which developed Ecology-Based Provincial Budget Transfers (TAPE); Maros and North Luwu Districts, which implemented Ecology-Based District Budget Transfers (TAKE); and Palu City, which implemented Ecology-Based Village Budget Allocations (ALAKE).
"This commitment to ecologically-based budgeting is good. However, it should not be done merely as a formality, without measuring its outputs and outcomes," he said.
In the meantime, he said that the Ministry of Home Affairs is committed to synchronizing and harmonizing regulations related to ecological funding.
This is realized through the preparation and dissemination of procedures for implementing Ecologically Based Performance Incentives (IKE), as well as regulations in the Minister of Home Affairs Regulation (Permendagri) Number 15 of 2024 concerning Guidelines for the Preparation of the 2025 Regional Budget.
In addition, ecological funding is also included in Presidential Regulation (Perpres) Number 12 of 2025 concerning the National Medium-Term Development Plan (RPJMN) 2025–2029 so that the ecological vision can be integrated into the Regional Medium-Term Development Plan (RPJMD), Strategic Plan (Renstra), and other planning documents.
"We are now encouraging local governments to seek alternative funding. This could be in the form of public-private partnerships, bonds, crowdfunding, corporate social responsibility, and the use of regional assets," he said.
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Translator: Fianda Sjofjan Rassat, Katriana
Editor: Arie Novarina
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