Enviro News Asia, Singapore — Indonesia’s Ministry of Forestry reaffirmed the country’s commitment to strengthening climate change mitigation efforts and developing high-integrity carbon markets through active participation in Ecosperity Week 2026 and the GenZero Climate Summit 2026 in Singapore.
The international forums brought together governments, businesses, financial institutions, academics, and development partners to enhance collaboration in accelerating the transition toward a green economy and sustainable development through carbon investment initiatives.
During a series of discussions, the Ministry of Forestry highlighted strategic measures currently being implemented to strengthen international carbon market governance in the forestry sector. These include the development of credible carbon accounting frameworks, simplification of carbon unit issuance processes, and stronger safeguards related to community engagement, biodiversity protection, and carbon reserve mechanisms to prevent reversal risks.
At the “Nature, Markets, Scale” forum organized by the United Nations Environment Programme (UNEP) and GenZero on May 18, 2026, panel discussions explored the development of REDD+ across multiple carbon market mechanisms, including compliance markets, voluntary carbon markets (VCM), and emerging sovereign mechanisms.
The discussions also examined jurisdictional and project-based approaches, while highlighting how Article 6 of the Paris Agreement, CORSIA, and national emissions trading systems are shaping future carbon market demand, participation, and credibility. Emerging market opportunities in Japan, South Korea, and China were also addressed.
Senior Advisor to Indonesia’s Minister of Forestry, Edo Mahendra, stated that recent regulatory reforms have reopened investment opportunities in Indonesia’s forestry carbon market sector.
“Indonesia has entered a new chapter in the carbon market era. This time, our political commitment has been clearly translated into regulatory products,” Edo said.
He explained that Ministerial Regulation No. 6 of 2026 provides the foundation for accelerating carbon trading in the forestry sector through clearer and more streamlined business processes. According to him, the regulation responds to growing market demand for high-quality and high-integrity carbon credits.
The government has also opened opportunities for all carbon economic value mechanisms, including through a nesting approach designed to ensure environmental integrity, prevent double counting, and strengthen investor confidence.
Meanwhile, Director General of Sustainable Forest Management, Laksmi Wijayanti, emphasized in her closing remarks that the Ministry remains highly open to carbon investment in the forestry sector through multiple carbon value mechanisms.
During a meeting with representatives of Securing Energy for Europe (SEFE), Director of Forest Utilization Business Development, Ilham, highlighted Indonesia’s commitment to restoring and rehabilitating 12 million hectares of degraded land, reducing emissions through 50 million hectares of avoidance carbon projects, supporting 8.3 million hectares of social forestry, and protecting 1.4 million hectares of customary forests.
The commitments, previously announced by Indonesia’s Presidential Special Envoy for Climate and Energy at COP30 UNFCCC in Belém, Brazil, in 2025, are expected to strengthen opportunities for international carbon investment in Indonesia’s forestry sector.
Ilham also emphasized that Ministerial Regulation No. 6 of 2026 simplifies carbon investment business processes without compromising the production of high-integrity and high-quality carbon credits aligned with international standards and the Core Carbon Principles (CCP) established by the Integrity Council for the Voluntary Carbon Market (ICVCM).
He noted that the regulation requires project developers to ensure additionality, community participation and benefit-sharing, biodiversity protection, and environmental safeguards.
Beyond the main forums, the Ministry’s delegation also participated in several strategic meetings, including the ICGD Roundtable on Building High-Integrity Carbon Markets Across ASEAN, chaired by Mari Elka Pangestu. The roundtable focused on sharing carbon market developments among ASEAN member states, identifying common challenges, and exploring regional cooperation opportunities to accelerate credible national carbon markets.
The delegation also attended the Roundtable on “Shaping the Future of High-Integrity Carbon Credit Markets” organized by the World Business Council for Sustainable Development (WBCSD), the Coalition to Grow Carbon Markets (CGCM), and the Glasgow Financial Alliance for Net Zero (GFANZ).
During the session, Edo Mahendra expressed Indonesia’s expectation that CGCM would generate concrete outcomes through increased capital flows toward high-integrity climate action and stronger international carbon market liquidity. The discussions are expected to continue during London Climate Week scheduled for June 20–28, 2026.
On the sidelines of Ecosperity Week 2026, Indonesia’s Government also signed a cooperation agreement with UNEP to support sustainable REDD+ management initiatives.
The Ministry of Forestry reiterated its commitment to promoting sustainable forest management as a key pillar in balancing climate action, economic growth, and community welfare. Through collaboration with multiple stakeholders, Indonesia aims to strengthen transparent and credible forestry carbon markets that deliver tangible environmental and social benefits while supporting national development goals. (*)
