Jakarta, September 11, 2025 — Over the past century, global temperatures have risen by one degree Celsius, triggering a cascade of climate-related crises across the planet. For Indonesia, the world’s largest archipelagic nation, the consequences are increasingly tangible: rising sea levels, more frequent extreme weather, loss of biodiversity, and disruptions to livelihoods. Communities are becoming more vulnerable as agricultural and fishery productivity decline, while environmental degradation continues to erode economic stability.

To confront these challenges, Indonesia has adopted several sustainability frameworks — green, blue, circular, and bioeconomy — alongside its net zero emissions (NZE) 2060 target. Yet, implementation has been slow. Greenhouse gas emissions have climbed by nearly 300 million tons of CO₂e over the past decade, reflecting the country’s persistent dependence on extractive industries such as mining and monoculture plantations. Despite decades of industrialization, growth remains uneven, while environmental costs continue to rise¹.

Cendekia Iklim Indonesia (CII) brought up this paradox phenomena into forum called “Musyawarah Cendekia Iklim Indonesia” in Katadata SAFE 2025 series. The event, themed “Driving Economic Transformation through Environmental Protection and Restoration,” invited together economists, policymakers, and researchers to discuss one key idea: economic progress must go hand in hand with environmental recovery.


¹ Emissions Database for Global Atmospheric Research (EDGAR), 2024

Indonesia’s economic growth has lifted millions from poverty, yet it has also deepened inequality and environmental damage. “Our challenge is not only to grow, but to grow fairly and sustainably,” said Prof. Agus Sumule from the University of Papua, sharing lessons from Raja Ampat — a region of extraordinary natural wealth but persistent inequality

While tourism brings in nearly IDR 25 billion each year and the nickel industry generates more than IDR 2 trillion in four years, local communities see little benefit. “Without education, destructive practices like blast fishing could return,” Prof. Sumule warned, underlining how human development and conservation must progress together.

Prof. Rokhmin Dahuri, from Commission IV of the House of Representatives, echoed this view. He called for a development model built on three inseparable pillars — protection, restoration, and sustainable use — supported by reforestation, renewable energy, and zero-waste industries. “Development must maintain ecological, social, and fiscal balance,” he emphasized.

As the conversation deepened, the discussion turned to a fundamental question: what does it truly mean for a nation to prosper? Many agreed that Indonesia’s development can no longer be defined by growth alone. Progress, they said, must go beyond economic expansion and translate into tangible improvements in people’s daily lives. Prosperity is not merely about rising GDP but about fairness, dignity, and sustainability.

Dr. Pini Wijayanti from IPB University emphasized that prosperity should be understood in broader terms. “Well-being also means safety, health, dignity, and freedom of choice,” she said. She warned against what she called greedynomics, a system where wealth and resources are concentrated in the hands of a few, leaving future generations to bear the cost of inequality. Her reminder was clear: true growth must be inclusive, ensuring that development uplifts everyone, not just a privileged few.

Turning ideals into impact, however, requires solid evidence and reliable data. In an era defined by environmental uncertainty, decisions must be guided by facts rather than assumptions. Caroline Aretha from Bappenas shared how the Biodiversity Management Index (IPK) has been integrated into Indonesia’s national and provincial development plans. “Good data ensures that policy decisions are evidence-based and aligned with sustainability goals,” she explained. For her, data is not only a technical requirement but the very foundation of accountability and good governance.

Yet prosperity is not only about the economy or the environment. It is also about equality. Therefore, Andhyta Firselly Utami of Think Policy highlighted a sobering reality that the top one percent of Indonesians now control almost half of the country’s wealth. To close this gap, she proposed a new way of thinking about reform inspired by teamwork. In her view, society needs Defenders who safeguard social justice and land rights, Midfielders who uphold good governance, and Forwards who drive innovation and green industry. It is through this collective effort, she argued, that Indonesia can redefine prosperity not as endless consumption but as shared progress built on fairness, balance, and hope for the future.

Several speakers agreed that redirecting fossil fuel subsidies toward renewable energy could accelerate Indonesia’s green transition. Dr. Fadhil Hasan from INDEF called it a matter of both climate and resilience. “If we continue to subsidize fossil fuels, we are financing our own vulnerability,” he said.

Examples from Indonesia and abroad show that restoration can also drive growth. In Central Kalimantan, community-led peatland restoration covering 150,000 hectares has prevented 7.5 million tons of carbon emissions annually while creating local jobs. Across the world, restoration projects in Africa and Latin America have revived degraded lands and lifted communities out of poverty.

For CII, these experiences reaffirm that restoration is not a cost — it’s an investment in the future. “Indonesia can build an economy that heals rather than harms,” said a CII representative.

Indonesia stands at a crossroads: to continue relying on extractive industries or to embrace a restorative economy that regenerates ecosystems and supports people’s well-being.

Through this forum, Cendekia Iklim Indonesia reaffirmed its commitment to advancing public dialogue and evidence-based policies for a more just, resilient, and sustainable future — one where economic progress and environmental stewardship move forward together.