Indonesia expands carbon trade with nature-based solutions
During the Indonesia Climate Policy Outlook 2025 event, hosted by the Foreign Policy Community of Indonesia (FPCI) in Jakarta on February 20, he stated that Indonesia joined the global carbon trade network by launching international carbon trade transactions at the Indonesian Stock Exchange in January.
A farmer plants vegetable seedlings in a peatland in Pontianak, West Kalimantan, Indonesia (Photo: ANTARA)
Jakarta (VNA) – Indonesia is promoting the supply of carbon credits from nature-based solutions, such as emissions stored in peat ecosystems, according to Deputy Minister of Environment Diaz Hendropriyono.
During the Indonesia Climate Policy Outlook 2025 event, hosted by the Foreign Policy Community of Indonesia (FPCI) in Jakarta on February 20, he stated that Indonesia joined the global carbon trade network by launching international carbon trade transactions at the Indonesian Stock Exchange in January.
However, he acknowledged that carbon trading activities have yet to reach optimal levels.
He said that perhaps the market is looking for nature-based solutions. Not only are they renewable, but their prices may also be more competitive and marketable. So, now Indonesia is seeking as much supply as possible from nature-based solutions, including peatlands.
The international carbon trade will be facilitated by optimising the National Registry System (SRN) and preparing the necessary infrastructure and related instruments.
The minister revealed that the international community is concerned about the recognition of certification institutions, prompting the government to encourage demand by pursuing mutual recognition arrangements (MRAs) with various parties.
ꦓ So far, Indonesia has signed an MRA with Japan, which was launched last year at the 29th UN Climate Change Conference (COP29) in Azerbaijan./.
Indonesia on January 20 launched its first international carbon trading platform, contributing to promoting the country’s climate and sustainable development goals.
Indonesia’s National Research and Innovation Agency (BRIN) on July 30 said the country is strengthening research cooperation with Japan on carbon neutrality.
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