Enviro News Asia, Jakarta – The President Director of the Indonesia Stock Exchange (IDX), Iman Rachman, announced that the volume of international carbon trading is targeted to reach 750,000 tons of carbon dioxide equivalent (tCO2e) by 2025. This statement was made following the launch of IDX Carbon’s international carbon trading platform, aimed at reducing global emissions.
“Last year, it was 500,000 (tCO2e). We hope that internationally and domestically, it will reach between 500,000 and 750,000 tons (CO2),” Iman stated after the carbon trading launch event at the IDX building, South Jakarta, on Monday (January 20, 2025).
Indonesia’s Minister of Environment, Hanif Faisol Nurofiq, emphasized that the government has ensured the integrity of the country’s carbon trading system through key elements, including the National Registry System (SRN), Measurement, Reporting, and Verification (MRV) mechanisms, and Greenhouse Gas Emission Reduction Certificates (SPE-GRK).
“Through these critical elements within the carbon ecosystem, we can guarantee that the Emission Reduction Certificates (SPE) issued by Indonesia are of high integrity,” Hanif stated.
Iman Rachman also mentioned that so far, 104 participants have utilized the carbon trading platform since its launch in 2023. IDX Carbon aims to increase participation from both domestic and international companies this year.
“Our target is 200 participants. As for the transaction value, it depends on the pricing,” Iman explained.
Since its official launch, carbon trading volume has reached 48,788 tCO2e for 14 buyers. Prior to the launch, sales amounted to 1 million tCO2e. Carbon pricing has been set at IDR 96,000 per ton for technology-based solution units (IDTBSA) and IDR 144,000 per ton for renewable energy-based units (IDTBSA-RE). According to a report from the Ministry of Environment, five carbon emission reduction projects have been authorized.
These projects include the operation of a new natural gas-fueled power plant, Priok Gas and Steam Power Plant (PLTGU) Block 4, for 500,000 tCO2e; the conversion of a single-cycle power plant to a combined-cycle (Add On) at PLTGU Grati Block 2 for 450,000 tCO2e; the operation of the Gunung Wugul Minihydro Power Plant (PLTM) for 5,000 tCO2e; the operation of a new natural gas-fueled power plant, PLTGU PJB Muara Karang Block 3, for 750,000 tCO2e; and the conversion of a single-cycle power plant to a combined-cycle at Block 2 of PLN Nusantara Power Muara Tawar Generation Unit for 30,000 tCO2e.
Meanwhile, the Chairman of the Financial Services Authority (OJK), Mahendra Siregar, stated that the OJK has implemented regulations, supervision, and monitoring of the carbon exchange.
“OJK ensures that only carbon market operators licensed by OJK are allowed to operate,” Mahendra said.
