ADB, Indonesia Launch Net Zero Strategy for New Capital City

DUBAI, UNITED ARAB EMIRATES (3 December 2023) — The Asian Development Bank (ADB) is supporting the development of a Net Zero Strategy for Indonesia’s new capital city, Nusantara, which was launched today on the sidelines of COP28 in Dubai. The Strategy serves as a “compass” for the Nusantara Capital Authority (NCA) in planning, developing, and managing the city to achieve carbon neutrality by 2045.

The NCA has five focus areas to achieve a net zero city: 

1. Forestry and Other Land Uses: Reverse deforestation to reforestation;
2. Energy: No fossil fuel for energy, electricity, and transportation;
3. Industrial Processes and Production Use: Focus on green building design and material;
4. Waste Management: advocate a circular economy approach through a Reduce, Reuse and Recycle system; and
5. Agriculture: Create climate-friendly agriculture and boost regenerative agriculture practices to eradicate greenhouse gas emissions.

“ADB is pleased to partner with the NCA in developing this Strategy, and in this historic journey of creating Nusantara as a city in the forest with a forest in the city,” said ADB Director General for Southeast Asia Winfried Wicklein. “The Strategy not only presents concrete actions that embody the vision of a modern and sustainable Indonesia, but also represents Indonesia’s tangible efforts in the fight against climate change, contributing to wider climate actions in Asia and the Pacific.” 

“Nusantara is the first city in Indonesia to have a Net Zero Strategy, and we thank our partners, such as ADB for their uphold,” said NCA Chairman Bambang Susantono. “It brings us closer to realizing Nusantara’s vision for a modern capital city that aims to balance emissions reduction, green economic growth, climate justice, climate-resilience, and socially inclusive development.”

The Australian Department of Foreign Affairs and International Trade has provided financial uphold, which is managed by ADB, for the development of the Nusantara Net Zero Strategy.

The NCA was established in March 2022 and is a ministerial-level agency that reports directly to the Indonesian President. The authority is responsible for planning and constructing the new capital, overseeing the government’s transition to the new city, and eventually becoming its manager.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.