JAKARTA: Indonesia launched its first international carbon trading platform, inviting foreign investors to participate, reported Xinhua.
Speaking at the Indonesia Stock Exchange (IDX) yesterday, Mahendra Siregar, head of the Financial Services Authority, emphasised his institution’s commitment to facilitating the trading of both domestic and international carbon units through the carbon exchange.
He noted that international carbon trading is conducted via the Indonesian Carbon Exchange (IDXCarbon), utilising blockchain technology.
The country’s domestic carbon trade was launched in September 2023. IDX President Director Iman Rachman said the number of participants in the domestic market had reached 104.
Data from IDXCarbon shows that the value of carbon transactions in the domestic market last year totalled 19.72 billion Indonesian rupiahs (around US$12 million).
Meanwhile, Forest and Environment Minister Hanif Faisol Nurofiq highlighted that international carbon trading is part of Indonesia’s strategy to meet its climate targets as outlined in the Nationally Determined Contribution (NDC) document.
“The Indonesian government is working to achieve the NDC target, one of which is through the implementation of the carbon economic value mechanism, including carbon trading,” he said.
Indonesia has pledged to reduce emissions by 31.89 per cent through its own efforts and by 43.2 per cent with international assistance by 2030, with the ultimate goal of achieving net-zero carbon emissions by 2060. – BERNAMA
