Develop Carbon Trading, IDX Carbon Service Procurement Free Extension Period For Candidates For IDX Carbon Users

President Director of PT Bursa Efek Indonesia (IDX) Iman Rachman. (Photo: Doc. Antara)

JAKARTA - IDX President Director Iman Rachman revealed a number of efforts made by the Indonesia Stock Exchange (IDX) to develop carbon trading in Indonesia.

Just so you know, carbon trading in Indonesia has been going on for the past year since it was inaugurated by President Joko Widodo on September 26, 2023.

"As a form of IDX's commitment to supporting the development of carbon trading in Indonesia, the IDX has carried out various initiatives," said Iman in his remarks at the One Year Anniversary of the Establishment of the Indonesian Carbon Exchange, Main Hall of the Indonesia Stock Exchange (IDX), Jakarta, Thursday, October 3.

Iman detailed that the first effort made by the IDX was to facilitate the carbon unit trade in the form of an Upper Limit Technical Approval for Business Entrepreneurs Emissions or PTBAE-PU in the near future.

With this effort, he hopes to help the company that owns PTBAE-PU in fulfilling its emission reduction obligations in an easy and transparent way through the stock exchange.

The second effort, continued Iman, is to issue a Decree of the Board of Directors of PT Bursa Efek Indonesia which provides an extension of the free period of registration costs for prospective users of the Indonesian Carbon Exchange services.

Then the third effort that will be made by the IDX is to maintain the policy of exempting the cost of recording carbon units, exemption from membership fees, and exemption from annual fees or annual fees for all IDX Carbon Service Users.

"The cost will only be charged with buying and selling transactions of 0.11 percent to 0.22 percent of the transaction value which is one of the lowest carbon unit transaction fees in the world," explained Iman.

In the future, Iman ensures that the IDX will continue to strive to encourage carbon market liquidity in terms of demand and supply for both domestic and international markets in accordance with government regulations and regulations.

"To realize this effort, the IDX will always actively coordinate and synergize with OJK, related Ministries, and market players to improve the carbon trading mechanism, provide sustainable education, harmonize Environmental Investment Development, Social & Governance (ESG) in the capital market with carbon trading, provide incentives, and develop a GRK emission reporting system according to international standards," said Iman.