Indonesia advances carbon market and climate reporting frameworks

Indonesia is advancing its carbon market and climate reporting frameworks, creating a growing demand for decarbonization expertise and specialized human resources. New regulations, including PSPK 1 and PSPK 2, are set to take effect on January 1, 2027, requiring businesses to establish reliable greenhouse gas (GHG) inventories and emissions data to meet evolving sustainability reporting requirements.

To address the need for skilled professionals in this maturing sector, the Indonesia Carbon Trading Association (IDCTA) Youth launched Carbon Youth Week 2026. The program, which began with dialogues at the Indonesia Stock Exchange (IDX), aims to educate young people on carbon market architecture, trading mechanisms, and climate finance. Industry leaders note that while the sector is growing, there is a significant shortage of human resources with the technical expertise required to manage carbon ecosystems and nature-based solutions.