Indonesia's government says it will complete regulations for carbon trading in the energy sector within one to two months. The rules are part of the implementation of Presidential Regulation No. 110/2025 on Carbon Pricing. The National Carbon Pricing Committee has instructed technical ministries to finalize sector-specific rules, with the energy ministry currently drafting its own regulation covering business processes and mechanisms for carbon pricing and market activities in the energy sector. The energy sector is expected to become a major participant in Indonesia's carbon market following the recent approval of four forestry carbon projects for international trading and the launch of the national carbon registry. The Ministry of Energy and Mineral Resources is leading the drafting of the energy sector regulation, which will establish the operational framework for carbon pricing and market activities. This move follows the Ministry of Forestry's issuance of Ministerial Regulation No. 6/2026, which set the precedent for sector-specific carbon trading rules.
