What’s New for Indonesia’s Carbon Market in 2025?

Indonesia is stepping into the spotlight as a rising force in the global carbon market. With the launch of its official carbon exchange, IDXCarbon, and a government push toward greener solutions, 2025 is shaping up to be a good year.

Let’s take a closer look at what’s happening and what it means for the future of carbon credits and climate action in Indonesia.

IDXCarbon Is Gaining Real Traction

Since its launch in September 2023, IDXCarbon has handled more than 1.598 million tons of CO₂e in trades, with a total value of over IDR 77.91 billion (~USD 4.6 million) as of April 2025. That’s a significant jump from its early days (source).

Even more telling: participation is expanding. When it launched, there were just 16 registered entities. Now, there are over 100 actively engaging on the platform.

• SPE (Sertifikat Pengurangan Emisi) credits are trading at around IDR 58,800/ton (~USD 3.66)

• TBS (Technology-Based Solution) credits—like those from renewable energy—can go for up to IDR 144,000/ton (~USD 8.78).

Nature-Based Solutions Take Center Stage

Indonesia’s forests, peatlands, and mangroves store vast amounts of carbon—and the country is getting serious about unlocking their value. The government plans to roll out forestry-sector offset trading this year, with a potential market size of IDR 3.2 trillion (~USD 200 million) annually.

These are some of the key project types gaining traction:

• REDD+ to reduce emissions from deforestation

• ARR (Afforestation, Reforestation, Revegetation) to restore forest cover

• Blue Carbon to protect coastal ecosystems

• Biochar to improve soil health and lock carbon underground

These projects do more than capture carbon. They also bring benefits to local communities and ecosystems—exactly what high-quality, integrity-focused carbon credits are all about.

What’s Driving the Momentum?

Stronger Policy Signals

Indonesia’s Ministry of Environment and Forestry is tightening rules around project registration and verification through the SRN (Sistem Registri Nasional). These updates, along with broader policy efforts to align climate investments with national goals, help boost investor confidence by ensuring greater transparency and coordination across sectors.

A Global Demand for High-Integrity Carbon Credits

As companies work to meet their net-zero pledges, the demand for credible, nature-based carbon credits keeps growing. Especially those that also support biodiversity and community development

Smarter Tools for Transparency

Advances in GIS and digital MRV systems mean project outcomes are easier to track and verify—making it less risky for buyers and project developers alike.

Challenges Still on the Table

This progress doesn’t mean everything is smooth sailing. Key hurdles include:

• Limited liquidity in the market

• Risk of low-quality or misleading credits (“greenwashing”)

• The need for stronger community involvement in projects

But with increased oversight, better data, and more collaboration across sectors, Indonesia is clearly laying a foundation for long-term success in carbon markets.

Connect with CarbonTide

Interested in sourcing high-integrity Indonesian carbon credits or co-developing a project with us? Contact us at hello@carbontide.co or visit www.carbontide.co.

Keywords: carbon market Indonesia, carbon credits, carbon investment, REDD+, ARR, Blue Carbon, IDXCarbon, ESG, net-zero, nature-based solutions, high-integrity carbon credits, carbon project development, sustainability, tropical forestry, climate finance, GIS carbon analysis.