Indonesia expands forest carbon market to boost green growth

Jakarta (ANTARA) - Indonesia is expanding forest carbon trading to help meet emissions targets, widen community participation and strengthen its position in global carbon markets, Deputy Forestry Minister Rohmat Marzuki said.

The government has backed the initiative by approving the issuance of forestry carbon units by international institutions for use in carbon trading.

"The approval supports Indonesia's carbon pricing framework announced at the COP30 UNFCCC conference in Belem, Brazil, in 2025," Marzuki told lawmakers on Tuesday.

He said the forestry strategy also includes rehabilitating 12.3 million hectares of degraded land and forests.

The plan covers sustainable management of 48.9 million hectares of production and protected forests, while strengthening 8.3 million hectares of social forestry, including 1.4 million hectares of customary forests.

Marzuki said Indonesia's forests hold potential to generate 13.4 billion tons of carbon dioxide equivalent in carbon credits between 2024 and 2050.

"That positions Indonesia's forests among the world's strategic sources of high-quality, high-integrity carbon credits," he said adding that the carbon trading framework also creates new income opportunities for communities.

The policy allows social forestry groups, including Indigenous communities, to participate in carbon markets, expanding access beyond private forest concession holders.

Marzuki said stronger regulations would help establish Indonesia as a transparent and integrated participant in global carbon markets.

"Credible, transparent and high-integrity forest carbon trading supports Indonesia's Nationally Determined Contribution and FOLU Net Sink 2030 targets," he said.

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Translator: Arnidhya, Kenzu

Editor: Rahmad Nasution

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