Derivative Regulations of Regulation of the President on Carbon Focusing Three Sectors

Assistant Deputy for Food Production and Climate Change at the Coordinating Ministry for Food, Fajar Nuradi, revealed that he is drafting derivative regulations from Regulation of the President No. 110 of 2025 (“Regulation 110/2025”) on the Implementation of Carbon Economic Value Instruments (“NEK”) and National Greenhouse Gas (“GHG”) Emission Control. The process is still in the drafting stage by cross-sector ministries, including technical regulations in sectoral ministries.

“It is important for each sectoral ministry to complete this, so everything is being pursued to meet the target,” said Fajar.

Fajar explained that there are three main sectors that are the focus of the completion of derivative regulations because they are considered to have the largest carbon unit potential, namely the Forestry and Other Land Use/FOLU (forestry), blue carbon (marine affairs), and energy sectors.

In the energy sector, the Ministry of Energy and Mineral Resources and the Ministry of Industry are drafting regulations on the implementation procedures for the Emission Trading System (ETS). This includes the integration of each sector's registry into the Carbon Unit Registry System (SRUK).

In the marine affairs and forestry sectors, the relevant ministries are preparing regulations on the procedures for implementing emissions offset trading and the mechanism for approving emissions offset mitigation projects or actions. In addition, all sectors will also develop a roadmap for sectoral decarbonization and determine sectoral carbon allocations.

The government is preparing a carbon market roadmap, as well as a monitoring, evaluation, and reporting system for the implementation of Nationally Determined Contributions (NDC) and NEK.