Vehicle Emissions Tax: An Opportunity to Control Air Pollution

Abstract

This paper discusses about the condition of air quality in Indonesia and the opportunity to control air pollution using vehicle emissions tax. It is described descriptively based on literature, legal regulations, and prior researches. Transportation grow rapidly due to population growth. It is because transportation is very important for mobility and supports economic. Motor vehicles as a mean of transportation are known to cause air pollution due to their emissions. Pollutants in emissions are risk factors for several diseases, including acute respiratory infections, bronchitis, and pneumonia. Air quality in Indonesia, namely "indeks kualitas udara (IKU)" is still in good condition. However, there are provinces that have "moderate" IKU value and even "very less". A variety of ways are being done to control air pollution from the transportation sector. Unfortunately, in Indonesia still has not touched the economic side. Environmental economic instruments need to be developed to address this. Basically, the regulations has provided the opportunity for the implementation, such as Law Number 32 Year 2009, Law Number 28 Year 2009, and Government Regulation Number 46 Year 2017. Therefore, the study of vehicle emission tax that internalizes economic losses due to air pollution for public health needs to be done. This kind of study is expected to be an input for policymakers on air pollution control.