TEMPO.CO, Jakarta - Finance Minister Sri Mulyani Indrawati in a CSIS webinar on Wednesday said the cost to contribute to the reduction of CO2 or climate change is extremely expensive, with investments needed for the reduction reaching US$365 billion and 26 percent government role.
“One estimate was Rp3.461 trillion until the year 2030 and that calculation has been revised even higher to Rp3,779 trillion,” said the minister in the virtual event on August 4.
This means, she said, the country can design policy or framework with public and private sectors at an international scale that can translate the estimates and fulfill the financial gap and reach the climate change commitment.
Sri Mulyani explained that 2030 will be a milestone for climate change and a critical moment for many countries that have committed to the Paris Agreement.
The minister also cited the widespread natural disasters happening in the world, such as the devastating floods in Germany, forest fire in Turkey and California, all of which motivates countries to realize this commitment.
“Climate change is real and the time available is getting narrower because the world is currently warming above 1 percent,” said Sri Mulyani.