EVALUATION OF ECONOMIC STRUCTURE DEVELOPMENT OF KUPANG CITY, NTT PROVINCE, INDONESIA TO MEET NATIONAL GHG EMISSION TARGET

Adrianus AMHEKA

Associate Professor, State Polytechnic of Kupang, Indonesia, Correspondence details: Dr. Adrianus Amheka, State Polytechnic of Kupang, Jl. Adisucipto PO.BOX 139 Penfui Kupang, NTT, Indonesia

adrianus.amheka@gmail.com

Abstract

Indonesian government through RAN/RAD-GRK program set target to reduce GHG emission between 26%~41% by 2020 based on 2005 emissions under BAU. Study begins by simple identify and evaluate current socio-economic structure condition to achieve Indonesia’s GHG emission reduction target. We assume optimal GHG reduction rate (n) between 0%~20% then investigate its impacts to related sectors. As result, found 0.015Gt is estimated amount of GHG emission in Kupang before optimized (or about 0. 47% of total GHG emission in Indonesia) and 0.012Gt after optimized. The optimal n is around 15%~17% with Kupang GRP (1,656.86~1,371.51) Trillion IDR. The result indicated that Kupang economic cannot attain n more than 17%~20% without any conflict among stakeholders and current gross regional product (GRP) is not optimal to control GHG emission but has a space for making a higher GRP by keeping the same amount of GRP as before optimized. Relation between n and GRP called the trade-off and it is allowed can be raised up by introducing renewable energy technology for future research. In Indonesia, this study becomes the first study dealt with GHG emission reduction in the city level focused on economic activities.

Keywords: Kupang economic, GHG emission, reduction rate

JEL classification: O21, O25, O44, R50, R58

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