The Ministry of Environment and Forestry (KLHK) and the Environmental Fund Management Agency (BPDLH) are preparing to finalise a Mutual Recognition Agreement (MRA) with Verra, a leading global carbon standard body, expected to be signed in early October 2025. According to Erna Susilawati from KLHK, the MRA document is in the final review stage; both sides have negotiated jointly to settle key matters like dispute settlement, accreditation mechanisms, and alignment of methodologies. Once in effect, Indonesian carbon credits could carry joint labels recognised by both Indonesia’s national registry (SPE) and Verra, increasing cross-market credibility and access.
The agreement aims to elevate the international standing and market access of Indonesia’s carbon trading ecosystem by enabling project developers to apply Verra-aligned methodologies and leveraging competitive pricing. Authorities say this mutual recognition will broaden the reach of Indonesia’s carbon credits, enhance credibility, and attract more investment into sustainable projects.
