ASIATODAY.ID, JAKARTA – Indonesia has the ambition to become the hub of the world’s carbon market. This will be echoed at the Carbon Digital Conference (CDC) which will be held on 8-10 November 2023 in Bali.
The plan is that the forum, which will be attended by 350 participants, will discuss the carbon market.
General Chair of the Indonesia Carbon Trade Association (IDCTA) Riza Suarga hopes that carbon purchase transactions will occur at the forum.
“We hope that President Joko Widodo’s dream of making Indonesia a world carbon hub or axis can be achieved in the near future,” said Riza in his statement in Jakarta, Tuesday (7/11/2023).
Riza added that Indonesia could become the world’s carbon hub, beating Japan, which had already implemented Carbon Capture and Storage (CCS) and Carbon Capture, Utilization and Storage (CCUS) technology.
“Indonesia’s enormous potential as a world carbon trading center can be seen from the existence of several CCS project hubs currently being developed: Sumatra, North-West Java, Papua and Masela. “This location has potential which may be developed as a CCS hub in the future,” explained Riza.
According to Riza, CCS will be a new path in developing low-carbon businesses in the future, including the development of hydrogen and green and blue ammonia.
Meanwhile, Yuliana Sudjonno as PwC Indonesia Sustainability Leader and Knowledge Partner for CDC 2023, added that Indonesia has an abundant supply of carbon credits. However, without a strong demand side in the carbon market, the supply market will be meaningless.
“Apart from that, an ecosystem is also needed that supports credit quality monitoring mechanisms so that it can create public trust in the reliability and credibility of credit traded on IDX Carbon,” said Yuliana.
The 2023 CDC Forum is also a place to meet potential carbon buyers. There are around 15,000 Japanese companies in Indonesia who are potential carbon buyers.
Indonesia has extraordinary natural resource potential that can be optimized to reduce carbon emissions, including utilizing it through carbon exchanges.
President Joko Widodo said the potential for Indonesia’s carbon exchange reaches more than IDR 3,000 trillion. This potential will become a new economic opportunity that is sustainable and environmentally friendly.
This is in line with the world’s direction towards a green economy. Domestic carbon trading activities, through primary trading between business entities and secondary through the Financial Services Authority exchange, can reach US$1 billion to US$15 billion, every year. (AT Network)
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