RRI.CO.ID, Jakarta — National Development Planning Minister, Rahmat Pambudi, has said a new socio-economic assessment of sea-level rise will underpin long-term climate adaptation policies, including the government's proposed Giant Sea Wall along Java's northern coast. He warned it on Monday, July 13, 2026 of potentially massive economic losses if coastal risks are left unchecked.

The assessment, developed through the SEPAKAT, a collaborative planning and integrated data platform, with Australian support is intended to help integrate climate risk into national and regional development planning. Minister Pambudi said the government was moving beyond responding to disasters and instead embedding climate risk into infrastructure and investment decisions.

"Today we are not only talking about threats. We are talking about something concrete, sea-level rise has become a reality that has fundamentally changed the face of our coastal regions," he said at the “National Policy Dialogue on Sea Level Rise” event in Jakarta.

Rahmat warned that 319 regencies and cities face very high climate vulnerability. He noted the potential losses ranging from Rp544 trillion (around US$33 billion) to more than Rp2 quadrillion (over US$123 billion) by 2029 if adaptation measures are not implemented.

"This means two-thirds of our state budget could be consumed simply by climate vulnerability if we fail to address it," he said. The assessment will support planning for the Giant Sea Wall, one of Indonesia's most ambitious climate adaptation projects.

"As part of our long-term strategy, the government is preparing and refining construction of the Giant Sea Wall along the northern coast of Java," Rahmat said. He also warned that climate risks extend beyond economics, noting that 16,500 people would be affected in the worst case scenario.

Rahmat said the government would combine four pillars of adaptation, which are physical, social, economic and digital infrastructure. It will be done alongside tighter groundwater controls, mangrove restoration and evidence-based policymaking, for short-term strategy.

Australia's Acting Deputy Head of Mission to Indonesia, Tim Stapleton, said reliable data and long-term planning would be essential for effective adaptation. "An effective response to sea-level rise requires long-term planning, cross-sector coordination, reliable data and collaboration between government, academia, civil society and development partners," he said at the same event.