TEMPO.CO, Jakarta - Indonesia has reaffirmed its commitment to making carbon governance the backbone of a fair and inclusive green economic transition.
“Indonesia’s carbon governance is not just about cutting emissions. It iss about ensuring a just transition toward a green economy,” said Hanif Faisol Nurofiq, Minister of Environment and Head of the Environmental Control Agency, in a written statement from the COP30 Climate Change Conference in Belem, Brazil, on Wednesday, November 12, 2025.
Speaking at a session titled “Accelerating Climate Action through Enhancing International Cooperation of Carbon Governance” at the Indonesia Pavilion, Hanif outlined Indonesia’s strategy to ensure that carbon revenues deliver tangible benefits to local communities.
“Our Benefit-Sharing Mechanism and result-based payment systems make sure that proceeds from carbon transactions go directly to the people,” he said, citing programs such as the Kalimantan FCPF Carbon Fund and the Jambi BioCarbon Fund.
Hanif added that gender equality and social inclusion are key pillars of Indonesia’s climate policies, with women and youth prioritized in capacity-building programs on climate entrepreneurship, renewable energy, and sustainable land management.
He also stressed that integrity is central to Indonesia’s carbon market, supported by a national Monitoring, Reporting, and Verification (MRV) system, an integrated registry, and certified Validation and Verification Bodies (LVV).
To align with Article 6 of the Paris Agreement, Hanif said Indonesia is harmonizing regulations governing its Designated National Authority and Host Party Participation.
Indonesia, he continued, has been sharing its experience in mainstreaming climate action across the energy, forestry, finance, and development planning sectors with key partners including the United Kingdom and Japan.
These collaborations aim to strengthen inclusive governance while meeting enhanced Nationally Determined Contribution (NDC) targets.
“Carbon’s economic value is not merely a transaction — it is an instrument of justice and an accelerator of Indonesia’s green transition,” Hanif said. “Integrity is the key. Without integrity, market trust collapses.”
He invited greater collaboration from businesses, financial institutions, academia, and international partners to build a robust carbon market ecosystem that ensures inclusive socio-economic benefits and attracts high-quality green investment.
“Indonesia’s goal is clear,” Hanif concluded. “To accelerate NDC achievements, uphold environmental integrity, and position the country as a regional carbon market hub with globally recognized accountability standards.”
A day earlier, the Indonesia Pavilion at COP30 was inaugurated by Presidential Envoy for Energy and Climate Change Hashim Djojohadikusumo, alongside Hanif and other officials.
The pavilion, themed “Accelerating Substantial Actions for Net Zero Achievement through Indonesia’s High-Integrity Carbon Market,” will host over 50 dialogue sessions throughout the conference.
It also introduces a ‘seller-meet-buyer’ forum to facilitate carbon transactions, an initiative projected to unlock US$7.7 billion (Rp129 trillion) annually and generate 90 million tons of high-quality carbon units.
Activists Criticize Indonesia’s ‘Transactional’ Climate Diplomacy
However, the Indonesian delegation’s approach has drawn criticism from environmental groups.
“The government’s focus on carbon trading makes Indonesia’s mission at COP30 too transactional,” said Maikel Peuki, Executive Director of WALHI Papua, during a public dialogue organized by the People’s Alliance for Climate Justice (ARUKI) on November 10. He said he saw little evidence of a strong commitment to Indigenous peoples and other vulnerable communities, contrary to the government’s claims.
Maikel also criticized the government for promoting corporate-friendly climate solutions such as coal co-firing, which he said only adds to Indonesia’s ecological burden.
He cited the government’s deforestation target: 10.47 million hectares between 2021 and 2030, including large-scale projects in Papua, as a sign that Indonesia’s climate agenda remains inconsistent.
The figure includes both “planned deforestation” (5.32 million hectares) and “unplanned deforestation” (5.15 million hectares).
“The strong presence of corporate sponsors at the Indonesia Pavilion shows that the government sides more with businesses, granting permits to extractive industries while limiting the space for communities to live,” Maikel added.
“Protection for vulnerable groups, including coastal and fishing communities, remains weak, as seen from the government’s slow response to recurring environmental disasters.”
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