POLICY

Minister reiterates key concerns on Indonesia’s carbon trade
January 28, 2022

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JAKARTA (FORESTHINTS.NEWS) - Indonesian Environment and Forestry Minister Siti Nurbaya has reiterated that the country is always open to technical alignments with international alliances as long as the goal is to achieve possible legal compatibility with Indonesia’s forest carbon governance.

The minister emphasized that although Indonesia is prioritizing the implementation of its economic value of carbon to meet its own NDC target, carbon trading through international markets can only be done in an effort to reduce GHG emissions as part of mitigation actions that are not, or not yet, included in the NDC CM2 (unconditional target) scenario.

“With regard to the domestic cross-sector carbon trade, we are also considering reserves to meet our NDC target,” Minister Nurbaya pointed out in a technical discussion on Indonesia’s forest carbon governance (Jan 28).

She went on to stress that business players who engage with the domestic cross-sector carbon trade are first legally required to possess an Emissions Reduction Certificate (Sertifikat Pengurangan Emisi/SPE) and be integrated in the National Registry System (Sistem Registri Nasional/SRN) - whereby the issuance of the SPE remains after considering reserves to fulfil the country’s NDC.

“Nothing associated with our carbon governance is allowed to deviate from the legal benchmarks of the landmark presidential regulation on the arrangements pertaining to the economic value of Indonesia’s carbon,” she asserted.

Minister Nurbaya underlined as well that compatibility-minded efforts to seek potential technical alignments with international parties engaged with Indonesia’s economic value of carbon need to remain firmly within the corridor of the landmark presidential regulation and related forthcoming ministerial regulations.

At COP26, President Joko Widodo declared that Indonesia’s legally-binding climate targets are not merely a pledge. These include achieving the Forestry and Other Land Use (FOLU) net carbon sink, or net zero deforestation, target by 2030, as previously reported by FORESTHINTS.NEWS in early November last year.

Single legal system

Minister Nurbaya described how carbon trading in domestic and international markets not only pays attention to reserves to meet Indonesia's NDC target, but also involves proof of emissions mitigation performance and Measurement, Reporting, Verification (MRV), using a methodology which refers to that of Indonesia's legal system.

“This means that all methodologies related to our carbon governance, including MRV and SRN, are fully integrated into our single legal system,” she affirmed.

“The illegalities of those who engage with Indonesia's economic value of carbon will definitely be detected,” the minister added.

For example, Indonesian forestry authorities have cancelled self-declared carbon projects involving Indonesian state forest areas without permits in both Sumatra and Kalimantan, thereby leaving them in the corridor of illegality.

Minister Nurbaya underscored the fact that law enforcement measures against carbon projects engaged in illegalities would be intensified, as reported by FORESTHINTS.NEWS (Dec 23) last year, while the government continues to step on the gas when it comes to climate actions, as also recently reported by FORESTHINTS.NEWS (Jan 21).


TAGS: CARBON , EMISSIONS , 2030 FOLU

RELATED STORIES


POLICY

Minister reiterates key concerns on Indonesia’s carbon trade
January 28, 2022

facebookfinal.png wafinal.png twitterfinal.png emailfinal.png

JAKARTA (FORESTHINTS.NEWS) - Indonesian Environment and Forestry Minister Siti Nurbaya has reiterated that the country is always open to technical alignments with international alliances as long as the goal is to achieve possible legal compatibility with Indonesia’s forest carbon governance.

The minister emphasized that although Indonesia is prioritizing the implementation of its economic value of carbon to meet its own NDC target, carbon trading through international markets can only be done in an effort to reduce GHG emissions as part of mitigation actions that are not, or not yet, included in the NDC CM2 (unconditional target) scenario.

“With regard to the domestic cross-sector carbon trade, we are also considering reserves to meet our NDC target,” Minister Nurbaya pointed out in a technical discussion on Indonesia’s forest carbon governance (Jan 28).

She went on to stress that business players who engage with the domestic cross-sector carbon trade are first legally required to possess an Emissions Reduction Certificate (Sertifikat Pengurangan Emisi/SPE) and be integrated in the National Registry System (Sistem Registri Nasional/SRN) - whereby the issuance of the SPE remains after considering reserves to fulfil the country’s NDC.

“Nothing associated with our carbon governance is allowed to deviate from the legal benchmarks of the landmark presidential regulation on the arrangements pertaining to the economic value of Indonesia’s carbon,” she asserted.

Minister Nurbaya underlined as well that compatibility-minded efforts to seek potential technical alignments with international parties engaged with Indonesia’s economic value of carbon need to remain firmly within the corridor of the landmark presidential regulation and related forthcoming ministerial regulations.

At COP26, President Joko Widodo declared that Indonesia’s legally-binding climate targets are not merely a pledge. These include achieving the Forestry and Other Land Use (FOLU) net carbon sink, or net zero deforestation, target by 2030, as previously reported by FORESTHINTS.NEWS in early November last year.

Single legal system

Minister Nurbaya described how carbon trading in domestic and international markets not only pays attention to reserves to meet Indonesia's NDC target, but also involves proof of emissions mitigation performance and Measurement, Reporting, Verification (MRV), using a methodology which refers to that of Indonesia's legal system.

“This means that all methodologies related to our carbon governance, including MRV and SRN, are fully integrated into our single legal system,” she affirmed.

“The illegalities of those who engage with Indonesia's economic value of carbon will definitely be detected,” the minister added.

For example, Indonesian forestry authorities have cancelled self-declared carbon projects involving Indonesian state forest areas without permits in both Sumatra and Kalimantan, thereby leaving them in the corridor of illegality.

Minister Nurbaya underscored the fact that law enforcement measures against carbon projects engaged in illegalities would be intensified, as reported by FORESTHINTS.NEWS (Dec 23) last year, while the government continues to step on the gas when it comes to climate actions, as also recently reported by FORESTHINTS.NEWS (Jan 21).


TAGS: CARBON , EMISSIONS , 2030 FOLU

RELATED STORIES