Cities are facing ever greater challenges regarding climate change. Urban governments and policymakers have taken such challenges into account when maintaining urban development momentum. Although the city government of Jakarta has implemented several initiatives to reduce emissions, assessments of the impact of these strategies on the sustainability of the urban system remain limited. This paper investigates the evaluation of two mitigation scenarios for reducing Jakarta’s greenhouse gases that differ in the authority level of the local government, using a policy analysis approach. The method emphasizes the use of the system dynamics model to gain insights into each option. The results reveal that the city’s development goals would be best achieved through joint partnership with the national government. Such cooperation would have a more significant effect on economic, social, and environmental sustainability than would be in the case in other scenarios.