Govt Strengthens National Carbon Trading with New Regulation

RRI.CO.ID, Jakarta - The Indonesian government has strengthened national carbon trading by issuing Presidential Regulation No. 110/2025 on the Implementation of Carbon Economic Value and Greenhouse Gas Emission Control.

The regulation was drafted through cross-ministerial and inter-agency collaboration involving academics, the business community, local administrations, and the public.

Head of the Ministry of Forestry’s Public Relations and Foreign Cooperation Bureau, Ristianto Pribadi, said the policy was developed based on domestic needs and intended to serve national interests. International cooperation remains open, but within the framework of Indonesia’s sovereignty and development priorities.

“We ensure that the management of carbon economic value is under the full control of the Indonesian government and is carried out for the national interest,” Ristianto said in Jakarta on Tuesday, February 24, 2026, as quoted on the Ministry’s official website.

He added that the regulation refers to Article 33 of the 1945 Constitution, which affirms the state’s control over natural resources for the prosperity of the people. Forest carbon potential, with stronger governance, is intended to deliver real and equitable benefits to the community.

The Ministry stated that the regulation reinforces the forestry sector’s role in biodiversity preservation while generating high-value carbon units. “The management of Conservation Forests, Protected Forests, and Production Forests is strengthened to support climate resilience and green economic growth,” Ristianto said.

He explained that three main aspects are regulated in the policy: harmonization of carbon policy with national development, deregulation through strengthening the Carbon Unit Registry System (SRUK), and more accountable decentralization of authority between ministries and institutions.

The government also aims to improve community welfare through social forestry and critical land rehabilitation.

The development of Indonesian carbon credits is directed towards global standards with high quality and integrity, recognized internationally, without neglecting national development priorities. “The economic value of carbon is expected to not only support the global climate agenda, but also strengthen conservation, improve community welfare, and encourage sustainable economic growth,” Ristianto said.

To strengthen the national carbon ecosystem, the Ministry is partnering with the International Emissions Trading Association, the Integrity Council for the Voluntary Carbon Market, and The Coalition to Grow Carbon Markets to enhance market connectivity and investor confidence. ***