| dc.description.abstract | Global climate change requires a shift in the economy towards low-carbon sustainable development. The Paris Agreement has created a global framework to shift towards a green economy, where carbon trading is one of the important market mechanisms. As one of the major carbon emitters committed to reducing emissions by 29-41% by 2030, Indonesia faces the challenge of aligning its domestic carbon trading regulations with the Paris Agreement's green economy concept. This study examines the alignment between carbon trading regulations in Indonesia and the concept of green economy stipulated in the Paris Agreement. The method used is a normative-juridical approach by reviewing related regulations, starting from Law No. 32 of 2009, Presidential Regulation No. 98 of 2021 concerning Carbon Economic Value, to POJK No. 14 of 2023 concerning carbon trading on the Carbon Exchange. The analysis also includes adjustments to international instruments such as Article 6 of the Paris Agreement on carbon market mechanisms.
The results show that Indonesia has developed a relatively comprehensive carbon trading regulatory framework, but still faces the challenge of synchronization with the green economy principles of the Paris Agreement. Positive alignment is seen in the recognition of Nationally Determined Contributions (NDCs), development of Monitoring, Reporting, and Verification (MRV) systems, and integration of carbon trading with sustainable development strategies. However, there are gaps in the aspects of corresponding adjustments, fair benefit sharing mechanisms, and inter-agency coordination in implementation. | en_US |
