Indonesia's Carbon Tax: Waiting for the Right Time
Summary
- The Indonesian government has postponed its carbon tax implementation twice.
- The scheme should have been imposed on April 1, 2022, per the latest Harmonized Tax Law mandate.
- Carbon taxes will increase PLN's electricity supply cost, expectedly raising the inflation rate as a result.
- Indonesia's inflation rate has exceeded the projection in June, even though the policy has yet to be implemented.