Enviro News Asia, Jakarta – Minister of Forestry Raja Juli Antoni is pushing for carbon trading to be utilized as an instrument for increasing private sector investment in tree planting and forest restoration, arguing that the mechanism can drive a fundamental shift in forestry business models from extractive activities toward ecosystem recovery.
The Minister made the remarks during a meeting with officials of the Directorate General of Watershed Management and Forest Rehabilitation (PDASRH) on July 7, 2026.
“This is truly our opportunity to plant, and for the private sector to transform their business from what used to be cutting to planting. From extractive to restorative,” Raja Juli Antoni said.
The Minister explained that developing Nature-based Solutions-based forestry financing needs to be supported by comprehensive information on location potential, types of activities, and clear governance. To this end, the Ministry of Forestry is preparing spatial data that can be used to identify area potential while connecting it to various forest management schemes.
This data will subsequently be combined with information on Forest Business Utilization Permit (PBPH) areas and Social Forestry areas. The mapping is expected to help identify suitable locations for planting activities, restoration, and carbon project development in accordance with applicable regulations.
“We are truly inventorying, providing guidance on planting methods and so on. So if someone wants to plant, there is a clear location, clear activities, and a clear process,” Raja Juli Antoni said.
He added that this approach is expected to provide information certainty for private parties wishing to invest in the forestry sector, while the government continues to push for carbon project development that adheres to quality, credibility, and applicable standards and governance.
Raja Juli Antoni said the steps are in line with the government’s policy direction in developing the Carbon Economic Value (NEK) framework, with Presidential Regulation No. 110 of 2025 serving as one of the foundations for advancing carbon economic value mechanisms as part of greenhouse gas emission control efforts and Indonesia’s climate target achievement. (*)
