Fast track to a low-carbon, climate resilient economy
Coherent Identifier 20.500.12592/k0656x

Fast track to a low-carbon, climate resilient economy

2 October 2023

Summary

Fast track to a low-carbon, climate resilient economy The Next Phase of Indonesia Green Taxonomy: Transition Finance to Support Decarbonization October 2023 Background: The bolder the commitments, the higher the investment need Indonesia heightened its climate commitments in 2022 through its Enhanced NDC. [...] Key principle G20 Indonesia Presidency 2022: Sustainable Finance Support whole-economy transition in the context of SDGs towards Working Group’s Transition NZE and Paris Alignment Finance Framework 5 pillars of the Transition Finance Framework Identification of eligible Policy measures transition activities and investment Mitigation of impacts: Reporting and disclosure socio-economic and just tran. [...] Transition Finance Framework and Taxonomy by commercial banks 6 ASEAN Taxonomy v2 is the global first for a regional taxonomy, encouraging early action to reduce the region’s reliance on coal Two major developments of ASEAN Taxonomy for Sustainable Finance v2 The consideration of planned programs of coal phase-out in Technical Screening Criteria: 1. [...] Operation capped at 35 years since COD 8 Source: ASEAN Taxonomy for Sustainable Finance V2 Why transition taxonomy? Allow transition finance to bridge the gap between traditional and 1 green/sustainable finance Preserve the integrity of sustainable finance principles to avoid 2 greenwashing Recognize comprehensive, credible, and measurable transition 3 pathways by taking into consideration transit. [...] • Ensure that disclosure • Engage global financial requirements enable industry to institutions to support particularly for coal • Advance technical access reliable and verifiable transition finance as we look decommissioning, with thresholds and screening information on transition to global investors to national roadmap and criteria to fit Indonesia’s activities as well as related risks contribut.

Pages
12
Published in
United States of America

Creators/Authors