The Political Network Governance of Indonesia's Low-Carbon Transition: A CIMO-Based Review
DOI:
https://doi.org/10.64530/ijbams.v2i1.49Keywords:
State-Business Nexus, Low-Carbon Policy, Regulatory Capture, Political EconomyAbstract
Despite international climate commitments, Indonesia's low-carbon policy implementation faces barriers stemming from state-business nexuses. This study analyzes actor networks impeding green economy governance. Employing a Systematic Literature Review (SLR) integrated with the CIMO (Context-Intervention-Mechanism-Outcome) framework, 16 studies were synthesized using NVivo. Results reveal a fragmented state apparatus contrasting with dominant fossil fuel interests entrenched in patronage networks. Quantitative data indicates significant power asymmetries, with 36.8 million hectares allocated to corporations versus 3.1 million hectares to communities. Regulatory capture is evident, exemplified by the 0% royalty clause in the Omnibus Law. Consequently, implementation gaps persist; although presidential commitments aim to reduce coal, 14 GW of new coal capacity was ratified until 2030. Distributive injustices are severe, with an estimated 6,500–15,700 annual premature deaths due to coal emissions. The system exhibits carbon lock-in, projecting coal dominance until 2050. The study concludes that green regulatory stagnation results from historically constituted state-business power configurations rather than technical incapacity. Addressing informal ties between state elites and business interests is crucial. Recommendations include transparent governance designs to minimize fossil fuel dominance and accelerate progress toward the 2060 Net Zero Emission target.
References
Abdullah, A., Fisher, M. R., Sahide, M. A. K., Abdullah, A., Fisher, M. R., & Sahide, M. A. K. (2024). Forest and Society Environmental Governance Challenges of Indigenous Forest Recognition : Climate Solution Ideal and Its Uneven Outcomes in Indonesia Recommended Citation Forest and Society Environmental Governance Challenges of Indigenous Forest Recognition : Climate Solution Ideal and Its Uneven Outcomes in Indonesia. 8(2).
Anderson, Z. R., Kusters, K., McCarthy, J., & Obidzinski, K. (2016). Green Growth Rhetoric Versus Reality: Insights From Indonesia. Global Environmental Change, 38, 30–40. https://doi.org/10.1016/j.gloenvcha.2016.02.008
Apriliyanti, I. D., & Nugraha, D. B. (2025). Burning Coal In A Cleaner Way: Institutional Fragmentation, Power Dynamics, And Business Influence In Indonesia’s Biomass Co-Firing Imaginaries. Energy Research and Social Science, 121. https://doi.org/10.1016/j.erss.2025.103949
Benjamin-Chung, J., Mertens, A., Colford, J. M., Hubbard, A. E., van der Laan, M. J., Coyle, J., Sofrygin, O., Cai, W., Nguyen, A., Pokpongkiat, N. N., Djajadi, S., Seth, A., Jilek, W., Jung, E., Chung, E. O., Rosete, S., Hejazi, N., Malenica, I., Li, H., … Yori, P. P. (2023). Early-Childhood Linear Growth Faltering In Low- And Middle-Income Countries. Nature, 621(7979), 550–557. https://doi.org/10.1038/s41586-023-06418-5
Falayi, M., Gambiza, J., & Schoon, M. (2021). A Scoping Review Of Environmental Governance Challenges In Southern Africa From 2010 to 2020. Environmental Conservation, 48(4), 235–243. https://doi.org/10.1017/S0376892921000333
Hadizadeh, M., Ghaffari Feyzabadi, J., Fardi, Z., Mortazavi, S. M., Braga, V., & Salamzadeh, A. (2024). Digital Platforms as a Fertile Ground for the Economic Sustainability of Startups: Assaying Scenarios, Actions, Plans, and Players. Sustainability (Switzerland), 16(16). https://doi.org/10.3390/su16167139
Ilham, Q. P., Purnomo, H., & Nugroho, T. (2019). Model Of Multi-Stakeholder Forest Management: A System Study Of Protected Forest Management Unit In Solok, Indonesia. IOP Conference Series: Earth and Environmental Science, 285(1). https://doi.org/10.1088/1755-1315/285/1/012009
Jakob, M., Flachsland, C., Steckel, J., & Urpelainen, J. (2020). Actors, objectives, context: A Framework Of The Political Economy Of Energy And Climate Policy Applied To India, Indonesia, And Vietnam. Energy Research and Social Science, 70. https://doi.org/10.1016/j.erss.2020.101775
Juniyanti, L., Purnomo, H., Kartodihardjo, H., Prasetyo, L. B., & Pambudi, E. (2021). Powerful Actors And Their Networks In Land Use Contestation For Oil Palm And Industrial Tree Plantations in Riau. Forest Policy and Economics, 129. https://doi.org/10.1016/j.forpol.2021.102512
Massagony, A., Pandit, R., & White, B. (2025). Political Economy Of Energy Policy In Indonesia Towards Net Zero Emissions by 2060. Energy for Sustainable Development, 88. https://doi.org/10.1016/j.esd.2025.101757
Prihandono, I., & Widiati, E. P. (2023). Regulatory Capture In Energy Sector: Evidence From Indonesia. Theory and Practice of Legislation, 11(3), 207–231. https://doi.org/10.1080/20508840.2023.2248837
Purnomo, H., Kusumadewi, S. D., Ilham, Q. P., Puspitaloka, D., Hayati, D., Sanjaya, M., Okarda, B., Dewi, S., Dermawan, A., & Brady, M. A. (2021). A Political-Economy Model To Reduce Fire And Improve Livelihoods In Indonesia’s Lowlands. Forest Policy and Economics, 130. https://doi.org/10.1016/j.forpol.2021.102533
Ridho, Z., & Marlinda, A. P. (2025). From Energy Security to Energy Justice: Indonesia s Renewable Energy Transition in the Global Climate Governance Regime. In Z. Rozaki, E. Asenso, E. Jimenez Macias, M. Paprzycki, M. Muflikhun, P. Lorenz, Triyono, A. Ghasmpour, P. Astuti, & S. Y. Chin (Eds.), BIO Web of Conferences (Vol. 199). EDP Sciences. https://doi.org/10.1051/bioconf/202519902004
Rohmy, A. M., Hartiwiningsih, H., & Handayani, I. G. A. K. R. (2024). Judicial Mafia And Ecological In-Justice: Obstacles To Policy Enforcement In Indonesian Forest Management And Protection. Trees, Forests and People, 17. https://doi.org/10.1016/j.tfp.2024.100613
Sahide, M. A. K., Fisher, M. R., Nasri, N., Dharmiasih, W., Verheijen, B., & Maryudi, A. (2020). Anticipating A New Conservation Bureaucracy Land And Power In Indonesia’s Essential Ecosystem Area Policy. Land Use Policy, 97. https://doi.org/10.1016/j.landusepol.2020.104789
Setyowati, A. B., & Quist, J. (2022). Contested Transition Exploring The Politics And Process Of Regional Energy Planning In Indonesia. Energy Policy, 165. https://doi.org/10.1016/j.enpol.2022.112980
Tomich, T. P., De Foresta, H., Dennis, R., Ketterings, Q., Murdiyarso, D., Palm, C., Stolle, F., & Van Noordwijk, M. (2002). Carbon Offsets For Conservation And Development In Indonesia. American Journal of Alternative Agriculture, 17(3), 125–137. https://doi.org/10.1079/AJAA200219
Downloads
Published
Issue
Section
License
Copyright (c) 2026 Fajar Alamsyah, Romy Hermawan
This work is licensed under a Creative Commons Attribution 4.0 International License.
