The Determinants of Environmental Quality in Indonesia

Authors

  • Peris Frengki Butarbutar Direktorat Inventarisasi Gas Rumas Kaca dan Monitoring, Pelaporan dan Verifikasi
  • Candra Fajri Ananda Universitas Brawijaya
  • Ferry Prasetya Universitas Brawijaya

DOI:

https://doi.org/10.21776/ub.jiae.2023.011.01.3

Keywords:

Environmental Index, PROPER, Environmental Damage, Environmental Degradation, Indonesia

Abstract

Purpose

This research analyzes the determinants of environmental quality in 32 Indonesian provinces in the period between 2013-2019.

Design/methodology/approach

This research method used an ordinal logistic regression analysis approach where the dependent variable consists of cumulative predicate categories based on the EQI assessment interval as determined by the Ministry of Environment and Forestry.

Findings

This study finds that the per capita GDRP and poverty have positive and significant effects on the Environmental Quality Index. However, The Human Development Index and expenditures in environmental and forestry functions have negative and significant effects.

Research limitations/implications                                                                                                                                                                                  

Based on the findings, the local and central government, through the Ministry of Environment and Forestry in cooperation with business people required to conduct the Environmental Impact Analyses, should participate in PROPER.

Originality/value

This study will show how the inter-components of economic development, social development, income and expenditure on environmental and forestry functions affect each category of the Environmental Quality Index (EQI) predicate.

References

Alvarado, R. et al. (2018) ‘Environmental Degradation and Real Percapita Output: New Evidanceat The Global Level Grouping Countries by Income Levels’, Journal of Cleaner Production, Vol. 189, pp. pp. 13–20. doi: https://doi.org/10.1016/j.jclepro.2018.04.064.

Anggraeni, P. (2017) ‘The Contribution of Natural Resources on Economic Welfare in Indonesia’, The Indonesian Journal of Dev. Planning, Vol.1(No. 3), pp. 210–223.

Baloch, M. A. et al. (2020) ‘Poverty and vulnerability of environmental degradation in Sub-Saharan African countries: what causes what?’, Structural Change and Economic Dynamics, 54, pp. 143–149. doi: 10.1016/j.strueco.2020.04.007.

Bappenas (2018) ‘Analisis Wilayah dengan Kemiskinan Tinggi’, Kedeputian Bidang Kependudukan dan Ketenagakerjaan, pp. 1–80.

BPS (2019) Kajian Lingkungan Hidup : Kualitas Lingkungan Hidup Perkotaan 2019. Edited by Sub Direktorat Statistik Lingkungan Hidup. Jakarta: BPS RI.

Chaigneau, T. et al. (2018) ‘Incorporating Basic Needs to Reconcile Poverty and Ecosystem Service’, Conservation Biology, Vol. 33, N, pp. 655–664. doi: https://doi.org/10.1111/cobi.13209.

Daw, T. M. et al. (2016) ‘Elasticity in Ecosystem Services: Exploring The Variabel Relationship between Ecosystems and Human Well-being’, Ecology and Society, Vol.21(2). doi: http://dx.doi.org/10.5751/ES-08173-210211.

Dhrifi, A., Jaziri, R. and Alnahdi, S. (2020) ‘Does Foreign Direct Investment and Environmental Degradation Matter for Poverty? Evidence from Developing Countries’, Structural Change and Economic Dynamics, Vol. 52, pp. pp. 13–21. doi: https://doi.org/10.1016/j.strueco.2019.09.008.

Eni, D. D. and Ubong, E. (2008) ‘Poverty and Environmental Degradation in Uyo Urban, Akwa Ibom State, Nigeria’, African Journal of Educational Studies in Mathematics and Sciences, Vol. 6, pp. 56–64.

Fodha, M. and Zaghdoud, O. (2010) ‘Economic Growth and Pollutant Emissions in Tunisia: An Empirical Analysis of The Environmental Kuznets Curve’, Energy Policy, Vol. 38, pp. pp. 1150–1156. doi: 10.1016/j.enpol.2009.11.002.

Gatti, R. C. (2016) ‘Trend in Human Development and Environmental Protection’, International Journal of Environmental Studies, Vol. 73, N, pp. pp.268–276. doi: http://dx.doi.org/10.1080/00207233.2016.1148447.

GGGI (2015) ‘Mewujudkan Pertumbuhan Ekonomi Hijau untuk Indonesia yang Sejahtera Sebuah Peta Jalanuntuk Kebijakan, Perencanaan dan Investasi’, in Sintesis.

Hakim, R. N. (2017) PDRB dan Kerusakan Lingkungan: Environmental Kuznets Curve di Indonesia. Universitas Katolik Parahyangan. Available at: http://repository.unpar.ac.id/bitstream/handle/123456789/3344/Cover - Bab1 1110067sc.pdf?sequence=1&isAllowed=y.

Halimatussadiah, A. et al. (2021) Kertas Kebijakan Meningkatkan Kualitas Lingkungan Hidup dengan Transfer Fiskal Berbasis Ekologi di Indonesia. Jakarta.

Juhro, S. and Trisnanto, B. (28AD) Paradigma dan Model Pertumbuhan Ekonomi Endogen Indonesia. WP/11/2018. Jakarta. Available at: http://publication-bi.org/repec/idn/wpaper/WP112018.pdf.

Jun, Y., Zhong-kui, Y. and Peng-fei, S. (2011) ‘Income Distribution, Human Capital and Environmental Quality: Empirical Study in China’, Energy Procedia, Vol. 5, pp. pp. 1689–1696. doi: 10.1016/j.egypro.2011.03.288.

Kalbar, P. P. et al. (2016) ‘Personal Metabolism (PM) Couple with Life Cycle Assessment (LCA) Model: Danish Case Study’, Environment International, Vol. 91, pp. 168–179. doi: http://dx.doi.org/10.1016/j.envint.2016.02.032.

Kehutanan, K. L. H. dan (2019) Indeks Kualitas Lingkungan Hidup, Kementrian Lingkungan Hidup dan Kehutanan.

Kemenkeu (2019) Pemerintah Berikan Sejumlah transfer Fiskal untuk Jaga Ekologi Hutan Indonesia. Available at: https://www.kemenkeu.go.id/publikasi/berita/pemerintah-berikan-sejumlah-transfer-fiskal-untuk-jaga-ekologi-hutan-indonesia/.

Khattak, S. I. et al. (2020) ‘Exploring The Impact of Innovation, Renewable Energy Consumption and Income on CO2 Emissions: New Evidance From The BRICS Economics’, Environmental Science and Pollution Research, pp. pp. 1–16. doi: https://doi.org/10.1007/s11356-020-07876-4.

Kijima, M., Nishide, K. and Ohyama, A. (2010) ‘Economic Models for The Environmental Kuznets Curve: A Survey’, Journal of Economic Dynamics & Control, Vol. 34, pp. pp. 1187–1201. doi: 10.1016/j.jedc.2010.03.010.

Kocak, E. et al. (2019) ‘Is There a Trade-off Between Sustainable Society Targets in Sub-Sharan Africa?’, Sustainable Cities and Society, Vol. 51. doi: https://doi.org/10.1016/j.scs.2019.101705.

Kurniawan, A. (2019) ‘Pembangunan Ekonomi, Industrialisasi, dan Degradasi Lingkungan Hidup di Indonesia Tahun 1967-2013: Enviromental Kuznet Curve Model’, Jurnal Ekonomi Kuantitatif Terapan, Vol. 12, N, pp. pp. 73–85. doi: 10.24843/jekt.2019.v12.i01.p08.

Kurniawan, R. and Managi, S. (2018) ‘Economic Growth and Sustainable Development in Indonesia: An Assessment’, Bulletin of Indonesian Economic Studies, pp. 1–32. doi: https://doi.org/10.1080/00074918.2018.1450962.

Li, X. and Xu, L. (2021) ‘Human Development Associated With Environmental Quality in China’, PLOS ONE, pp. 1–21. doi: https://doi.org/10.1371/journal.pone.0246677.

Liu, M. et al. (2019) ‘The Impacts of The Eco-Environmental Policy on Grassland Degradation and Livestock Production in Inner Mongolia, China: An Empirical Analysis Based on The Simultaneous Equation Model’, Land Use Policy, Vol. 88. doi: https://doi.org/10.1016/j.landusepol.2019.104167.

Mahmudi, S. M. (no date) ‘Peran Proper Sebagai Pendorong Peningkatan Kinerja Perusahaan Dalam Pengelolaan Lingkungan Hidup’, Forum Manajemen, Vol. 5 No.

Manurung, T. (2019) ‘Skema Pembiayaan Konservasi dan Pelestarian Hutan Melalui Model Transfer Fiskal berbasis Ekologis di Indonesia’, (September), pp. 1–39.

Masron, T. A. and Subramaniam, Y. (2018) ‘Does Poverty Cause Environmental Degradation? Evidence from Developing Countries’, Journal of poverty, pp. pp. 1–21. doi: https://doi.org/10.1080/10875549.2018.1500969.

Mumbunan, S., Ring, I. and Lenk, T. (2012) ‘Ecological Fiscal Transfers at The Provincial Level in Indonesia’, UFZ Discussion Paper, No.06/2012.

Nababan, Y. J. et al. (2014) ‘Tantangan Bagi Pembangunan Berkelanjutan di Kalimantan Timur: Menuju Inclusive Green Economy’, Masyarakat Indonesia, Vol. 40(No.2), pp. 211–228.

Nugroho, B. S. (2014) ‘Pertumbuhan Ekonomi dan Ketimpangan Pendapatan Antar Kecamatan’, Journal of Economics and Policy, Vol. 7, p. Hal. 46–59. doi: http://dx.doi.org/10.15294/jejak.v7i2.3842.

Oktavilia, S. et al. (2018) ‘The Relationship Between Environmental Degradation, Poverty and Human Quality in Indonesia’, E3S Web of Conferences, Vol. 73, pp. 1–3. doi: https://doi.org/10.1051/e3sconf/20187310020.

PLPPNS (2017) Hubungan Lingkungan dengan Kemajuan Pembangunan, Teknik Pengolahan Limbah PPNS. Available at: http://pl.ppns.ac.id/2017/10/10/hubungan-lingkungan-dengan-kemajuan-pembangunan/.

Pradiptyo, R. et al. (2019) ‘Ketika Kekayaan Alam Tidak Menyejahterakan: Pembelajaran dari Pencegahan Korupsi Sumber Daya Alam’, Jurnal Antikorupsi INTEGRITAS, Vol. 5, pp. 49–63. doi: https://doi.org/10.32697/integritas.v5i2-2. 482.

Pribadi, W. and Kartiasih, F. (2020) ‘Environmental Quality and Poverty in Indonesia’, Journal of Natural Resources and Environmental Management, p. Page 89–97. doi: http://dx.doi.org/10.29244/jpsl.10.1.

Purcel, A.-A. (2020) ‘New Insight into The Environmental Kuznets Curve Hypothesis in Developing and Transition Economies: a LiteratureSurvey’, Environmental Economics and Policy Studies. doi: https://doi.org/10.1007/s10018-020-00272-9.

RashidKhan, H. U. et al. (2019) ‘Pro-poor Growth and Sustainable Development Framework: Evidence from Two Step GMM Estimator’, Journal of Cleaner Production, Vol. 206, pp. pp. 767–784. doi: https://doi.org/10.1016/j.jclepro.2018.09.195.

Roe, D. and Elliott, J. (2004) ‘Poverty Reduction and Biodiversity Conservation: Rebuiding The Bridges’, Oryx, Vol. 38(2), pp. 137–139. doi: https://doi.org/10.1017/S0030605304000249.

Saputra, W. and Haryanto, J. T. (2021) ‘Daftar Isian Masalah: “Penerapan Transfer Fiskal Berbasis Ekologi dan Rancangan Undang-Undang Hubungan Keuangan antara Pemerintah Pusat dan Pemerintah Daerah”’, in Kertas Kebijakan. USAID.

Schröter-Schlaack, C. et al. (2014) ‘Intergovermental Fiscal Transfers to Support Local Conservation Action in Europe’, Zeitschrift für Wirtschaftsgeographie, Vol. 58, pp. 98–114. doi: https://doi.org/10.1515/zfw.2014.0007.

Sen, K. K. (2020) ‘A Comparative Analysis of Environmental Quality and Kuznets Curve between Two Newly Industrialized Economies’, Management of Environmental Quality: An International Journal. doi: 10.1108/MEQ-04-2020-0083.

Setyadharma, A. et al. (2020) ‘The trade-off between Poverty and Environmental Degradation: Evidence from Indonesia’, IOP Conference Series : Earth and Environmental Science, Vol. 448, pp. pp.1–6. doi: 10.1088/1755-1315/448/1/012065.

Sineviciene, L. (2018) ‘The Impact of Economic Performance on Environmental Quality in Developing Countries’, International Journal Environmental Technology and Management, Vol. 21, N, pp. pp.222–237.

Sittisak, P. and Ekasingh, B. (2015) ‘Trade-off between the Economic, Social and Environmental Objectives in Optimal Resource Management in the Fang Watershed, Chiang Mai Province, Thailand’, Agriculture and Agricultural Science Procedia, Vol. 5, pp. pp. 38–45.

Sumargo, B. and Haida, R. N. (2020) ‘Linkages between Economic Growth, Poverty and Environmental Quality in Indonesia’, Jurnal Ekonomi Pembangunan: Kajian Masalah Ekonomi dan Pembangunan, Vol 21, No, p. pages 47–59. doi: https://doi.org/10.23917/jep.v21i1.8262.

Vliert, E. Van de and Vlek, C. (2015) ‘Relation Between Economic Wealth, Ecological Footprint, and Environmental Protection Depend on Climatic Demands’, International Journal of Environmental Studies, Vol. 72, N, pp. pp. 948–971. doi: http://dx.doi.org/10.1080/00207233.2015.1067471.

Wang, Z. et al. (2020) ‘Does Solar PV Bring a Sustainable Future to The Poor? An Empirical Study of Anti-Poverty Policy Effects on Environmental Sustainability in Rural China’, Energy Policy, Vol. 145. doi: https://doi.org/10.1016/j.enpol.2020.111723.

Wiyekti, N. (2021) ‘Transisi Menuju Eknomi Hijau, Berkaitan dengan Kualitas Lingkungan Era Desentralisasi di Indonesia’, Jurnal Ilmiah Komputasi dan Statistika, Vol.1, No., p. Hal. 32–39.

You, W. and Lv, Z. (2018) ‘Spillover Effects of Economic Globalization on CO2 Emissions: A Spatial Panel Approach’, Energy Economics, Vol.73, pp. pp.248–257. doi: https://doi.org/10.1016/j.eneco.2018.05.016.

Yustisia, D. and Sugiyanto, C. (2014) ‘Analisis Empiris Environmental Kuznets Curve (EKC) Terkait Orientasi Energi’, Jurnal Ekonomi dan Studi Pembangunan, Vol. 15, N, p. Hal. 161–170.

Downloads

Published

2023-02-28