By: Mohamad Rafi Andiansyah, S.H. and Yudistira Adipratama, S.H., LL.M.
Date: October 3, 2023
On August 2, 2023, Indonesia took a significant stride toward establishing carbon trading through a carbon exchange with the official enactment of Financial Services Authority (Otoritas Jasa Keuangan/OJK) Regulation No. 14 of 2023, commonly referred to as Regulation No. 14/2023. This move aligns with Indonesia’s plans to launch its carbon exchange market in the near future. Additionally,the OJK has also published Circular No. 12/SEOJK.04/2023 (Circular 12/2023) as a supplementing regulation that plays a crucial role by providing detailed technical and procedural guidelines essential for the effective implementation of carbon trading in Indonesia. Please click here for our advisory on Regulation No. 14/2023 and click here for our analysis of the supplementing Circular 12/2023.