Climate-Friendly Freight Transport in Indonesia

Intermodal Freight Transport in Java and Truck Fleet Modernisation in Indonesia

The TRANSfer III project works with the Ministry of Transportation (MoT) on the preparation of two mitigation action programmes in the freight transport sector. The first programme is on shifting freight transport from road to rail on Java and the second programme is on truck fleet modernization. Initial concepts of these programmes were discussed with stakeholders from government, state-owned enterprises, the freight industry and academics in a focus group discussion and workshop in early February 2020.

The proposed rail freight programme includes funding and planning measures to improve multimodal infrastructure as well as interventions to enhance the business case for rail freight transport compared to competition from the road.

The proposed truck fleet modernization programme includes three direct actions to reduce emissions. These are: scrappage of high emitting trucks; standards and incentives to accelerate the transition to clean trucks; and measures to monitor and reduce emissions from in-use vehicles.

Both proposed programmes further include numerous supportive actions to improve the enabling environment and to provide capacity building.

The FGD, the workshop and the many bilateral meetings which were held during the two weeks of GIZ international consultants visiting Jakarta generated a solid amount of feedback for further developing the two action programmes. In general, they were welcomed by the stakeholders and confirmed that the TRANSfer III-MOT cooperation is working in the right direction.

Indonesia is among the world’s largest truck markets and has officially registered more that 7 million trucks, of which many are very old and in poor technical condition that emit excessive emissions. At the same time, rail has only a marginal share of the freight transport market. Thus, dedicated programmes of action are needed to transition to a more sustainable freight transport system.

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Train in Surabaya, Indonesia, Picture by Hobi industri on Unsplash
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Published by:
Yoel Priatama