President Jokowi Officially Rolls Out Indonesia Carbon Exchange

Jakarta – President Joko Widodo (Jokowi) officially rolled out the Indonesia Carbon Exchange (IDXCarbon) on Tuesday. This is a form of Indonesia's real contribution to efforts to deal with the impacts of climate change. 

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"This is Indonesia's real contribution to fight with the world against the climate crisis, against the climate change crisis," President Jokowi said in Jakarta on Tuesday. 

According to the President, the proceeds from this trade will be reinvested in environmental protection efforts, especially through reducing carbon emissions.

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"Indonesia has tremendous potential in nature-based solutions and is the only country where around 60 percent of the fulfillment of carbon emission reduction comes from the natural sector," the Head of State said. 

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Presiden Joko WIdodo, Ketua Dewan Komisioner Otoritas Jasa Keuangan (OJK) Mahendra Siregar, dan jajaran pejabat lainnya dalam peluncuran Bursa Karbon di Main Hall, Bursa Efek Indonesia (BEI), Jakarta, Selasa, 26 September 2023.

Photo :

• Antara/HO-OJK

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The President added there are around one gigaton of potential carbon dioxide (CO2) carbon credits that can be captured.

"If calculated, our carbon exchange potential could reach IDR 3,000 trillion, or even more. A very large number, which of course will become a new economic opportunity that’s sustainable and environmentally friendly, by the direction of the world that is heading towards a green economy," President Widodo explained. 

The President emphasized that concrete steps are needed to address climate change because the threat is already felt globally, ranging from rising temperatures, droughts, and floods, to pollution.

"The carbon swap that we launched can be a concrete step, can be a big step for Indonesia to achieve the NDC (Nationally Determined Contribution) target," the President said. 

Regarding carbon trading, the President emphasized three things. First, the President emphasizes to making international carbon standards as a reference and utilizing technology for transactions to be effective and efficient.

Second, the President wants for a target and timeline, both for the domestic market and later the foreign market or international market.

Third, the President urges to regulate and facilitate the voluntary carbon market by international practices and ensure that the international standard does not interfere with Indonesia's NDC target.

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"I am very optimistic that Indonesia can become the world's carbon axis as long as these concrete steps are carried out consistently and together by all stakeholders, both by the government, by the private sector, by the community, and together with other stakeholders," the President concluded.