Interest Still High, OJK Records Transactions on the Carbon Exchange Reaching IDR 29.45 Billion

JAKARTA - Chief Executive of Supervision of Capital Markets, Financial Derivatives and Carbon Exchanges of the Financial Services Authority (OJK) Inarno Djajadi said that on September 26 2023 there were only 16 service users. However, as of October 27, 2023, there were 24 service users who had obtained transaction permits on the carbon exchange.

In its development, since its launch on 26 September 2023 to 27 October 2023, 24 service users have received permits with a total trade volume of 464,843 tonnes of CO2e equivalent and an accumulated value of IDR 29.45 billion.

"Of this value, 31.78 percent was obtained through the regular market, 5.48 percent through the negotiated market, and 62.74 percent through the auction market," he explained at the Financial Services Authority (OJK) Monthly Board of Commissioners Meeting, Monday, October 30.

Inarno said that OJK is optimistic that the potential for the carbon exchange will be even higher in the future, reflected in the many registrants who have been registered in the National Climate Change Control Registry System (SRNPPI).

"In the future, the potential for the carbon exchange is still very large considering that there are 3,180 registrants registered in the National Registry System for Climate Change Control (SRNPPI) and the high potential of carbon units on offer," he said.

Inarno hopes that the carbon exchange can increase efforts to control climate change as well as provide benefits to service users and create environmentally friendly economic sustainability.

Inarno added that the OJK had coordinated with the Fiscal Policy Agency (BKF) of the Ministry of Finance in discussing the carbon tax, where incentives for carbon exchange transaction costs by providing a 50 percent discount on transaction costs would end on October 31, 2023.

"It seems that we will stick to our plan and will not extend the discount fee. "However, we also still have one incentive, namely the incentive to waive fees for becoming a service user until September 2024," he said.