Verra called Indonesia “an important country in the global effort to reduce greenhouse gas emissions,” noting its potential to lead Southeast Asia in generating high-integrity carbon credits.
WASHINGTON and JAKARTA — Verra and Indonesia’s Ministry of Environment/Environmental Protection Agency (MoE/EPA) have signed a Mutual Recognition Agreement (MRA) that immediately formalizes a partnership to expand Indonesia’s access to climate finance and strengthen the integrity of its carbon markets. Existing and new projects under Verra’s Verified Carbon Standard (VCS) Program can now register in parallel with Indonesia’s SRN-PPI national carbon registry, with Verified Carbon Units (VCUs) issued in the Verra Registry and mirrored in SRN-PPI for national oversight and accounting toward Indonesia’s NDCs under the Paris Agreement.
RELEVANT SUSTAINABLE GOALS
Why It Matters: Integrity, Investment, and National Oversight
Verra called Indonesia “an important country in the global effort to reduce greenhouse gas emissions,” noting its potential to lead Southeast Asia in generating high-integrity carbon credits. “This agreement marks an important shift toward collaboration and mutual recognition in the interest of global climate action that benefits the planet and people,” said Mandy Rambharos, Verra’s chief executive officer.
Indonesia’s deputy minister of climate change and carbon governance, Ary Sudijanto, said the partnership is a milestonein harmonizing global and national climate efforts to enhance market integrity, support sustainable development goals, and accelerate progress toward national and international climate targets.
What the MRA Does: Core Elements at a Glance
- Mutual Recognition: Project proponents in Indonesia may register with Verra’s VCS Program using any methodology approved for use in the VCS, and request VCUs.
- Streamlined Registration: Projects can pursue dual-track registration—VCS and SRN-PPI—in parallel. SRN-PPI registration must be finalized before completing VCS registration. VCS project documents will serve as the required documentation for SRN-PPI approval. VCUs will be issued in the Verra Registry and carry a label indicating the project is also registered by the Indonesian government.
- Information Sharing & Interoperability: Verra will share public project and credit information directly with SRN-PPI so the government can track status and mitigation progress. Both parties will work to automate data exchanges between registries.
- Support for International Trading: VCUs may be authorized for use under Article 6 of the Paris Agreement. VCUs used in the voluntary carbon market do not require Article 6 authorization but may require approval from Indonesia’s Ministry of Environment. Verra and the government will streamline approval processes.
We are honoured to partner with this Indonesian Government, which as taken key steps to build a national carbon market that reflects its commitment to national priorities and advances global sustainable development goals
How It Works: From Project Files to Credits
Under the MRA, VCS documentation becomes the primary submission for SRN-PPI approval, reducing duplicative steps. Once SRN-PPI registration is complete, the project can finalize VCS registration, receive VCUs in the Verra Registry, and have key project and issuance details mirrored in SRN-PPI, enabling national accounting and policy oversight without fragmenting market access.
Verra and MoE/EPA will jointly develop a Technical Guidance Document detailing the specific MRA requirementsfor VCS project proponents and developers. The guidance will ensure alignment with applicable regulations; further details will be released upon completion, and stakeholders are encouraged to stay informed as development progresses.
As a mission-driven nonprofit, Verra supports climate action and sustainable development through standards programs and tools that credibly, transparently, and robustly assess environmental and social impacts—enabling funding to sustain and scale projects that verifiably deliver these benefits. The MRA is designed to open Indonesia to enhanced carbon market investment while keeping quality control and national oversight front and center.
With mutual recognition, registry interoperability, and clear pathways for Article 6 authorization and voluntary use, the Verra–Indonesia MRA provides a practical, integrity-focused framework to scale high-quality carbon credits—linking global market access to national climate priorities and credible accounting toward Indonesia’s NDCs.
Lead image is screen grab from Indonesia’s Ministry of Environment/Environmental Protection Agency (KLHK) Youtube channel
