Indonesia Issues New Forestry Rule to Govern High-Integrity Carbon Trading

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Ecobiz.asia — The Ministry of Forestry has issued a new regulation governing carbon trading in the forestry sector, aimed at ensuring high-integrity and high-quality carbon credits.

Minister of Forestry Raja Juli Antoni officially enacted Ministerial Regulation No. 6/2026 on Procedures for Carbon Trading through Greenhouse Gas Emission Offsets in the Forestry Sector. The regulation was signed in Jakarta on April 6, 2026, and promulgated on April 13, 2026.

Director of Forest Utilization Business at the Ministry of Forestry Ilham said the regulation will serve as a key framework for credible forestry carbon trading.

“Regulation No. 6/2026 provides a foundation for high-integrity and high-quality forestry carbon trading,” he said in Jakarta on Wednesday (April 15, 2026).

Read also:  Indonesia Targets 2027 Grid Code Revision to Support Renewables, Battery Storage

The regulation is an implementing rule of Presidential Regulation No. 110/2025 on Carbon Economic Value Instruments and Greenhouse Gas Emission Control. It also replaces previous provisions under Minister of Environment and Forestry Regulation No. 7/2023.

Under the new regulation, forestry carbon credits can be traded in international markets without waiting for Indonesia to meet its greenhouse gas emission reduction targets under its Nationally Determined Contribution (NDC).

Ilham said the regulation ensures the integrity of Indonesia’s forestry carbon credits through strict requirements that must be met before obtaining approval or recommendation from the Minister of Forestry.

Read also:  Indonesia Issues New Carbon Trading Regulation for Agriculture Sector, Requires Farmer Benefit-Sharing

These include the principle of additionality, requiring projects to deliver emission reductions beyond business-as-usual scenarios. Projects must also involve local communities meaningfully across all stages, from planning to implementation, monitoring, and evaluation.

In addition, benefit-sharing arrangements must be agreed upon with local communities, while projects are required to include biodiversity protection plans and risk management measures to address potential carbon reversal.

The regulation also mandates adherence to good forestry governance principles under the Padiatapa framework—certainty, availability, transparency, accountability, and integration—to ensure project credibility.

Read also:  Indonesia Plans Special Unit to Tackle Methane, Black Carbon Emissions by 2027

Ilham added that the ministry has partnered with the Integrity Council for the Voluntary Carbon Market (ICVCM) to ensure that Indonesia’s voluntary carbon market meets global integrity standards.

Chairman of the Indonesia Carbon Trade Association (IDCTA) Riza Suarga welcomed the issuance of the regulation.

“We view Regulation No. 6/2026 as very positive. This is a long-awaited policy,” he said. ***

Ministerial Regulation No. 6/2026 on Procedures for Carbon Trading through Greenhouse Gas Emission Offsets in the Forestry Sector

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