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Indonesia – Transport

Implementation of the Sustainable Urban Transport Program Indonesia (SUTRI NAMA)

Transport sector employees check bus in Indonesia
Partner ministries
Ministry of Transportation (MoT)
Implementation Organisations
Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH
Project partners
Ministry of Transportation (MoT)
Funding volume provided
EUR 5.5 million
Project duration
12/2013 – 03/2015 (Appraisal); 17/04/2015 – 31/12/2022 (Implementation)
Status
Completed
Phase
Completed
Call
1st Call

Context

In Indonesia, transport was the third largest source of energy-related emissions. The sector caused about 23% of total energy-related CO2 emissions in the country in 2005, with 67.68 MtCO2e in that year (BAPPENAS/GIZ, 2011: Indonesian NAMA Framework). Of the different subsectors, road transport was the highest emitter, representing around 89% of CO2 emissions and 91% of energy consumption in the sector. A rapidly growing population (from 206 million in 2000 to 238 million in 2010) and strong urbanisation trends revealed that Indonesian cities were increasingly under pressure for transport capacity. To effectively deal with these challenges, the government of Indonesia (GoI) updated its Nationally Determined Contribution (NDC) to the United Nations Framework Convention on Climate Change (UNFCCC). This updated NDC included measures such as preparation of urban mobility plans, development of urban mass transit systems, provision of national government support for the development of integrated intermodal facilities, and the implementation of urban transport services through a “Buy the Service (BTS)” scheme.

Goals and approach to transformational change

The project “Implementation of the Sustainable Urban Transport Programme Indonesia (SUTRI NAMA)” contributed to transforming urban transport in Indonesia through capacity-building measures. The focus was on five pilot cities.  

This project paved the way for a transformational change in urban transport policy in Indonesia by supporting the development and adoption of framework conditions that attracted public and private investment. Expected co-benefits included less congestion, air pollution, as well as improved accessibility to public transport, creation of new jobs, and reduced social inequality. The outputs achieved through the project’s technical guidance included developing and implementing a bottom-up urban transport Measurement, Reporting and Verification (MRV) system that initiated systematic monitoring for effective decision-making. 

Components and support mechanisms

The project provided technical assistance to local governments through a Technical Support Unit (TSU). This included assistance for reviewing Transport Master Plans and approaching investment programmes, national grant schemes, and the private sector for co-financing. 

Furthermore, the project initiated effective budget allocations by the central government for public transport services, infrastructure, and non-motorised transport. This was achieved through developing an efficient mechanism of co-funding from the Ministry of Transportation to local governments, which involved public and private sources as well as international donors. In addition to this mechanism, the project also strengthened local governments through policy guidance. Under the stand-alone component INDOBUS, conditions for private investments such as parking management facilities, ticketing systems, Non-Motorised Transport (NMT) facilities, and advertising companies were improved. 

Long-term impact

The project’s indirect mitigation impact was achieved through improved urban transport services and policies that encouraged passengers to shift from private cars and motorcycles to buses and non-motorised transport. The estimation of this indirect CO2 mitigation potential was based on a bottom-up approach using data on transport demand, specific energy consumption, and emission factors. The average indirect mitigation impact was estimated at 24,500 tCO2e in 2032, or 222,600 tCO2e cumulated from 2022-2032. Further indirect mitigation impacts were seen through replication of measures and policies in other Indonesian cities as well as attraction of new support projects and donors. 

Image: © GIZ Indonesia