RRI.CO.ID, Jakarta – The Indonesian Ministry of Forestry has introduced the Indonesia Forestry Carbon Hub to build a carbon trading ecosystem in the forestry sector, accompanied by ministerial approval for several projects to generate carbon units.

One initiative involves the Non-Certificate Greenhouse Gas Emission Reduction (Non-SPE GRK) scheme, seen as a step to accelerate the green economy while opening forest conservation-based investment opportunities.

In its initial phase, the ministry approved pilot projects covering about 225,000 hectares of forest, with an estimated emission reduction potential of 30 million tons of CO₂ equivalent.

“With this potential for emissions reductions, the estimated economic transaction value could reach IDR 5 trillion (approximately USD 278.08 million),” Forestry Minister Raja Juli Antoni said on Monday, July 6, 2026, as quoted by Antara.

He added that this figure excluded the potential non-tax state revenue of around IDR 500 billion.

Approved projects include PT Global Alam Lestari, PT Rimba Makmur Utama, and PT Mohairson Pawan Khatulistiwa, along with community-based carbon trading in the Bujang Raba landscape of Jambi, supported by the Indonesian Conservation Community (KKI) Warsi.

To strengthen transparency, the government is integrating its system with global carbon standard body Verra. On July 9, 2026, the ministry will launch the Carbon Unit Registration System (SRUK), which will connect with the Verra Registry and the Indonesia Stock Exchange using blockchain technology to ensure traceability of carbon transactions.

Coordinating Minister for Food Affairs Zulkifli Hasan emphasized that regulatory simplification is also underway to make carbon investment and the green economy more competitive.

“Under the President’s direction, we are streamlining nearly 35 regulations to make the process simpler, more transparent, and free from sectoral egos,” he said.

The government expects forestry carbon trading not only to support national emission reduction targets but also to serve as a new source of economic growth and state revenue. (Gusti Panji)