The Benefits of a Net-Zero Transport Strategy to Stimulate Sustainable Mobility in Indonesia

This executive summary presents a Sustainable Asset Valuation (SAVi) assessment of three mobility scenarios for Indonesia to achieve net-zero transport by 2050. The analysis compares strategies based on 'avoid, shift, and improve' interventions, concluding that a combined approach of public transport investment and private vehicle electrification yields the highest societal benefits.

• The assessment modeled three scenarios to evaluate the path to net-zero transport in Indonesia. Scenario 1 focused on 'avoid and shift' (public transport, teleworking, and non-motorized transport) but did not reach net-zero by 2050. Scenario 2 focused on 'avoid and improve' (100% private vehicle electrification and teleworking), which reaches net-zero by 2050. Scenario 3 combined both approaches and also reaches net-zero by 2050.
• Scenario 3, the combined approach, provides the highest cumulative discounted benefits for society at USD 450.1 billion (IDR 6,926.03 trillion) by 2050. While Scenario 2 has the most attractive overall benefit-cost ratio (BCR) of 1.97 USD for every USD invested due to lower investment costs, Scenario 3 offers the greatest societal BCR at 4.93.
• The highest values of avoided costs across all scenarios are attributed to air pollution, traffic accidents, internal combustion engine (ICE) vehicle costs, and CO2 emissions. The report emphasizes that excluding these intangible externalities from cost-benefit analyses leads to an underestimation of the investment's worth; for Scenario 3, the BCR is 0.47 when considering only tangible impacts, compared to 1.52 when tangible impacts are considered.
• Achieving net-zero transport in Indonesia requires a systemic approach involving the decarbonization of the energy supply, behavioral shifts, and coordinated investment from both public and private sectors. The report highlights a critical link between transport reform and public health, noting that avoiding health and noise costs, as well as accident costs, can result in substantial public budget savings.

APA

International Institute for Sustainable Development (n.d.). The Benefits of a Net-Zero Transport Strategy to Stimulate Sustainable Mobility in Indonesia. https://www.iisd.org/system/files/2024-03/savi-net-zero-transport-indonesia-summary.pdf

Chicago

International Institute for Sustainable Development. The Benefits of a Net-Zero Transport Strategy to Stimulate Sustainable Mobility in Indonesia. n.d. https://www.iisd.org/system/files/2024-03/savi-net-zero-transport-indonesia-summary.pdf.

Wikipedia

{{cite report |author=International Institute for Sustainable Development |title=The Benefits of a Net-Zero Transport Strategy to Stimulate Sustainable Mobility in Indonesia |url=https://www.iisd.org/system/files/2024-03/savi-net-zero-transport-indonesia-summary.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{internationalinstituteforsustainabledevelopmentndbenefits, author = {{International Institute for Sustainable Development}}, title = {{The Benefits of a Net-Zero Transport Strategy to Stimulate Sustainable Mobility in Indonesia}}, institution = {International Institute for Sustainable Development}, url = {https://www.iisd.org/system/files/2024-03/savi-net-zero-transport-indonesia-summary.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }