Breaking The Policy-Performance Paradox: A TwoTier Framework for Accelerating Green Technology Adoption
Year: 2025
Type: article
Abstract: This study addresses the significant disparity between Indonesia's energy conservation policy objectives and their actual implementation, developing a novel framework to promote the adoption of green technology among industrial and small- and medium-sized enterprises (SMEs). Indonesia has pledged to reduce its carbon emissions by 29–41% by 2030 as part of the Paris Agreement; however, it is only utilizing 30% of its energy-saving potential. This means there is an urgent need for comprehensive business models that connect policy and implementation while also addressing complex socio-technical issues. The research utilizes an innovative two-tier methodological framework that combines qualitative with quantitative validation. First, systemic problem structuring employs stakeholder interviews and focus group discussions to delineate policy fragmentation and socio-technical conflicts, facilitated by expert consultations with five industry professionals from Jakarta, Bekasi, and Tangerang. Second, structured questionnaires administered to 303 industrial companies in Jakarta, Tangerang, and Bekasi are checked for validity and reliability before hierarchical regression analysis is used to test organizational readiness factors. Third, participatory solution design utilizes AI-driven sentiment analysis, making it easier to objectively understand qualitative data. It also develops retrofitting finance models that work with the businesses of stakeholders. The two-tier regression and mediation model shows that policy support alone accounts for 42.6% of the variance in performance. When technology awareness, implementation capability, and employee capacity are added, this number rises to 53.6%. The framework validates that effective energy efficiency adoption necessitates the synergistic integration of top-down policy frameworks with bottom-up organizational readiness factors, contesting solely economic models while offering pragmatic insights for Indonesia's 2060 Net Zero objectives and sustainable development goals.
DOI: 10.14419/wqpynx91
Authors: Eka Sudarmaji, Widyaningsih Azizah, Herlan
Institution: Pancasila University
Field: Energy
Domain: Physical Sciences
Open Access status: diamond
OpenAlex ID: W4416827451
FWCI:
Cites:
Cited by:
Related to: