C4 – Carbon Reduction in Indonesia’s Agriculture Value Chain: Insights and Lesson Learned from Fertilizer Industry

About

A. Background

The agricultural sector is at the forefront of global sustainability efforts, as it is both a contributor to and a potential mitigator of climate change. The emergence of global awareness and the subsequent formulation of policies have catalysed a transformative shift towards more sustainable practices, as mandated in SDG and Paris Agreement. These policies emphasize the need for end-to- end solutions, from the production, distribution of agricultural inputs, cultivation, and post-harvest processes.

This global movement is crucial, particularly in the context of developing nations like Indonesia, where agriculture plays a significant role in the economy and livelihoods of millions. In Indonesia, the urgency to reduce the carbon footprint in agriculture is underscored by the sector’s substantial GHG, primarily from land use changes, deforestation, and the use of synthetic fertilizers. Indonesia faces the challenge of balancing the need for food security with the imperative to reduce its environmental impact. As the largest fertilizer industry in Asia and North Africa, Pupuk Indonesia (PI) Group plays a pivotal role in supporting sustainability policies and joint actions. By innovating and adopting greener technologies, the industry can significantly contribute to Indonesia’s Nationally Determined Contributions (NDCs). Key initiatives include developing and promoting low-carbon fertilizers, optimizing processes, improving nutrient management practices, and collaborating with farmers to implement sustainable farming techniques and agricultural technology, as outlined in the Ministry of State-Owned Enterprises Roadmap (2023). Pupuk Indonesia has also partnered with one of Indonesia’s largest media groups to launch the Agricultural Sustainability Index, aimed at accelerating awareness of sustainable agricultural practices across Indonesia’s provinces. The fertilizer industry’s involvement is crucial for ensuring the long-term viability of the agrichemical sector in transitioning toward a low-carbon society.

B. Output

1. PI Group Action Plan for Reducing Carbon Footprint in Agriculture Current PI Group initiatives and comprehensive action plan detailing strategies and timelines for reducing the carbon footprint across the agricultural value chain

2. Proposed Partnership Framework for Joint Actions A framework for partnerships between government agencies, the fertilizer industry, agricultural organizations, and international bodies to facilitate coordinated efforts and resource sharing in implementing sustainable agricultural practices.

3. Recommendations for Accelerating Sustainable Agriculture Standpoint Focus on incentivizing the adoption of green technologies and enhancing support for sustainable farming initiatives.

C. Target and Audiences

The talks are designed for a diverse audience, including government representatives, industry leaders, researchers, climate advocates, and the general public.

D. Talk Show Model

The talks will adopt a dynamic and interactive talk show model, organized into the following segment:

– Opening & Video introduction: 10 minutes

– Talk: 50 minutes (10 minutes per speaker)

– Q&A: 20 minutes

Live Stream

Presentations

Speakers

Dwi Satriyo Annurogo

Chief Executive Officer, PT Petrokimia Gresik

Alfa Widyawan

Senior Vice President Technology, PT Pupuk Sriwidjaja Palembang

Sergey Paltsev

Deputy Director, MIT Center for Sustainability Science and Strategy

Naoko ishii

Professor and Director Center for Global Commons, The University of Tokyo

Maximilian Jungmann

Executive Manager, Heidelberg Center for Environment

Moderator

Maranatha Bernard Ferryal

Vice President of Corporate Affairs, PT Pupuk Indonesia (Persero)

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