Analysis Of Factors Affecting The Environmental Quality Index In Sumatra Islands

Abstract

The main indicator in assessing the success of economic development is the rate of economic growth. An indicator of the success of a country's economic development is a prosperous society. Therefore, this study aims to determine relationship of economic development focusing on the rate of growth in the agricultural, industrial, mining, and transportation sectors to the Environmental Quality Index (EQI) in the Sumatran Islands. The research method used is panel data regression and the secondary data source is cross sectional data in the form of 10 districts/cities in the Sumatran Islands Province, namely Aceh, North Sumatra, South Sumatra, West Sumatra, Bengkulu, Riau, Riau Islands, Jambi, Lampung, Bangka Belitung, while the time series is 5 years, namely 2015 – 2019. This study uses the variables of the agricultural, industrial, mining and transportation sectors in the Gross Regional Domestic Product (GRDP) and the Environmental Quality of Life Index (EQI). The data was obtained from the Central Statistics Agency (CSA) and the Ministry of Environment and Forestry (EQI). The results of this study indicate that the agricultural sector has a positive and significant effect on the Environmental Quality Index (EQI), while the industrial, mining and transportation sectors have no significant effect on the Environmental Quality Index (EQI). The government as a policy maker is expected to pay more attention to regulations on resource and environmental management. Therefore, all sectors must adhere to the concept of sustainable development and a green economy approach.

KEYWORDS: Prediction, Examination result, Backpropagation