Study of Carbon Tax Policy Effectiveness and Public Socioeconomic Preferences in East Java

Abstract

As part of Indonesia's commitment to reduce carbon emissions and achieve the Net Zero Emission target, the implementation of carbon tax is one of the strategic steps that the government is beginning to pursue. However, the effectiveness of implementing a carbon tax is highly dependent on several factors, such as the tax rate level, policy design, public environmental awareness, and the level of public income. This study aims to analyze the effectiveness of carbon tax policies in East Java Province by examining the influence of these four variables through a public preference approach. Primary data will be collected by distributing questionnaires to respondents from various income levels and age groups in East Java. The data will be analyzed through regression modelling to identify which factors have the greatest impact on the effectiveness of the carbon tax. The results of this research are expected to produce a policy model that reflects public preferences and provide empirical insights for formulating a more effective and socially acceptable carbon tax scheme to support the Sustainable Development Goals