National Council on Climate Change of Indonesia

National Council on Climate Change of Indonesia

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Nanona| Counc|| on C||mate Change of Indones|a


National Council on Climate Change of Indonesia
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1. kLDD+ and carbon market
2. Indones|a carbon market
cond|non
3. Indones|a strategy on carbon
market deve|opment
resentanon structure
National Council on Climate Change of Indonesia
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now to hnance the kLDD+ |n|nanves?
! Wlll be very depended on Lhe nanclng sLrucLure of 8Luu+ pro[ecL
lLself.
! 1he 8Luu+ pro[ecLs can use boLh markeL and non markeL nanclng
sysLems.
8Luu+ llnanclng SysLem
market based mechan|sm
carbon market another market
government
budget
centra| and |oca|
government
pr|vate
|nvestment
pub||c pr|vate
partnersh|p and
pure|y pr|vate
IDI
fore|gn pr|vate
and government
|nvestment
National Council on Climate Change of Indonesia
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NAMAs, IVA, NMM, and where |s kLDD+?
NMM
IVA
NAMAs
ICM NLW
kLDD+
k
Market
FVA: 1he Lerm of various approaches ls broad and all-
encompasslng. Any approach LhaL has Lhe purpose of enhanclng
Lhe cosL-eecuveness of, or promoung, mlugauon acuons, would
appear Lo be lncluded wlLhln Lhe scope of Lhls Lerm. 1hese
approaches can be domesuc or lnLernauonal. 1hese approaches
can also be markeL-based ln naLure or nonmarkeL- based ln
naLure.
1he lvA appears Lo conLemplaLe a sysLem for enabllng Lhe
recognluon under Lhe unlCCC of unlLs from mechanlsms LhaL
are operaLed and admlnlsLered ouLslde Lhe unlCCC. 1he scope
of Lhe lvA exLends Lo markeL-based mechanlsms as well as
nonmarkeL- based mechanlsms
The NMM represents a UNFCCC-
run market mechanism much llke Lhe
mechanlsms under Lhe kyoLo roLocol, wlLh
agreed modallues and procedures LhaL would
apply Lo all paruclpaung unlCCC arues, and
wlLh unlLs represenung mlugauon ouLcomes
belng cerued and lssued by Lhe unlCCC or
ouLslde unlCCC.
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Indones|a support market based mechan|sm for kLDD+
! MarkeL based mechanlsm sysLem wlll be very lmporLanL Lo nance Lhe
8Luu+.
! lndonesla has long experlences Lo use carbon markeL sysLem Lo nance
mlugauon acuons, buL a very llmlLed on forresL based.
CDM
lndonesla unA have lssued 209 LoA from 2003-2012.
91 projects are registered ln CuM-L8, meLhane avoldance pro[ecLs
domlnaLe Lhe numbers of Lhe pro[ecL (39 pro[ecLs), buL Lhe blggesL CL8s are
comlng from geoLhermal
23 pro[ecLs have lssued CL8s wlLh LoLal volume 5.534 million ton
CERs.
Voluntary
9 projects have been done, 1.83 mllllons Lons of vL8 already dellvered.

lndonesla only has 1 project on AR-CDM and a few projects
in VCS for REDD+.
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CDM w||| not be a STAR anymore
! lndonesla and global communlues will not only use CDM as Lhelr
maln markeL based mechanlsms Lo nance Lhe mlugauon acuons.
! Some new MarkeL Mechanlsms are belng lnLroduced by some parues
Lo broaden Lhe opporLunlues Lo use markeL based mechanlsm sysLems.
! Some domesuc carbon markeL sysLems are belng developed Lo reduce
Lhe cosL of mlugauons.
Nusantara
Carbon
Scheme
Domesnc
vo|untary
carbon
market
Cther
mechan|sm
(market or
non-market)
REDD+ needs special
markets Lo sell Lhelr producLs",
noL only Lhe carbon.
uomesucally, lndonesla develop
Nusantara Carbon Scheme
Lo fulll lL needs on Lhe markeL
based mechanlsm.
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1hen we deve|op Nusantara Carbon Scheme
Why?
As an alLernauve for Lhe nanclal supporL ln domesuc
mlugauon acuons.
As a caLalysL for oLher new markeL mechanlsm.
1o malnLaln Lhe momenLum of lndonesla carbon
markeL developmenL.
1o ensure envlronmenLal lnLegrlLy and susLalnable
developmenL ln lndonesla mlugauon acuons.
Nusantara Carbon Scheme sha|| ensure
the ach|evement of GnG em|ss|on reducnon wh||e
ma|nta|n|ng the nanona| env|ronment |ntegr|ty and
susta|nab|e deve|opment.
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Nusantara Carbon Scheme
Ma|nta|n the m|nganon]carbon market
momentum |n Indones|a
Incennv|ze m|nganon acnons, espec|a||y the
m|cro- and commun|ty-based ones
Improve nanona| capac|ty |n do|ng
MkV-ed m|nganon acnons
os|non CC m|nganon as agent of susta|nab|e
deve|opment
Domesnc
Cernhcanon
Scheme for
Lm|ss|ons
keducnon
Nusantara Carbon Scheme
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Indones|a future carbon market framework
lnLernauonal Carbon MarkeLs
Llnk vla oseL
mechanlsm
ulrecL llnk wlLh oLher
domesuc markeL
mechanlsm
lnLernauonal
Credlung
Mechanlsm
DCMLS1IC MAkkL1 MLCnANISM
based on vo|untary market system
(e.g. Lm|ss|ons trad|ng scheme or sectora| trad|ng)
Indones|a |s prepar|ng standard, po||c|es, and
market |nstrument.
CAk8CN CkLDI1 SULILk
Indones|a produces carbon cred|t for mandatory
and vo|untary based market system for
|nternanona| market.
kLGICNAL AND
8ILA1LkAL MAkkL1
based on reg|ona| and b||atera|
agreement and domesnc em|ss|on
reducnon po||c|es
(e.g. NAMA or sectora| cred|nng)

National Council on Climate Change of Indonesia
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Nusantara Carbon Scheme
Check th|s out: skn.dnp|.go.|d
National Council on Climate Change of Indonesia
1er|ma kas|h
1hank you