Capacity Building for Carbon Trading Schemes in Indonesia

Jun 22, 2023

In recent months, provinces in Indonesia have been approached by carbon project developers, proposing collaboration in the development of carbon projects, especially in the land-based sector. Many provincial-level officials only have limited understanding of carbon market schemes. To address this gap, the GCF Task Force works to provide assistance to its member provinces to improve their understanding of carbon markets and the potential of these types of programs.

On May 12, 2023, together with the International Emission Trading Association (IETA), GCF Task Force Indonesia organized a half day discussion session inviting delegates from all seven member provinces in Indonesia, plus a few non-member provinces such as Riau and Jambi.

During the event, IETA and several of its members shared information on Article 6 of the Paris Agreement, the voluntary carbon market, and examples of collaboration for land-based activities. Indonesian participants shared information on current national regulation that mandates all carbon project registration at the National Registry System managed by the Ministry of Environment and Forestry (called “SRN PPI”).  Participants from East Kalimantan and Jambi also shared their experience in the Carbon Fund with the World Bank.

In addition to facilitating these types of important capacity building dialogue and connections, the GCF Task Force also supports its member provinces by providing information on carbon project developers who contact the provincial government. This is provided based on requests from the member provinces and relies not only on the GCF Task Force regional network, but the global network as well.

Last, based on requests from member provinces, the GCF Task Force Country Director and technical experts from CER Indonesia deliver presentations in the provinces, aimed at improving the provincial officers’ capacity. Such an event took place this week in North Kalimantan, where the province’s Forestry Agency organized a carbon trading workshop for the forestry sector. The GCF Task Force representatives contributed to materials on international and national policies on carbon trading, project cycles, and methodologies to estimate forest carbon stock and emissions.