Indonesia is solidifying its role as a primary driver of the clean energy transition and a significant player in the global carbon market. This commitment was underscored by the signing of a Framework Agreement with the Government of Norway, facilitated by PT Perusahaan Listrik Negara (PLN) Persero and the Global Green Growth Institute (GGGI), during the 30th Conference of the Parties (COP30) in Belém, Brazil, on Thursday (13/11).
This collaboration forms a crucial part of the Indonesia–Norway Framework Cooperation on Article 6 under the Paris Agreement, poised to reduce emissions by up to 12 million tons of CO₂e through a bilateral carbon trading scheme.
The agreement was formally signed by Evy Haryadi, PLN’s Director of Technology, Engineering, and Sustainability, and Sang-hyup Kim, GGGI’s Executive Director. The momentous occasion was witnessed by Hanif Faisol Nurofiq, Indonesia’s Minister of Environment, and Andreas Bjelland Eriksen, Norway’s Minister of Climate and Environment.
In her statement, Evy Haryadi emphasized that this partnership marks a tangible transformation for PLN, evolving from a traditional electricity provider into an integrated green energy solutions provider.
“As a state-owned electricity company, PLN bears the immense responsibility of providing reliable, affordable, and sustainable energy to over 280 million Indonesians,” Evy stated.
Through this impactful collaboration, PLN not only champions Indonesia’s ambitious Net Zero Emission (NZE) 2060 target but also significantly expands the nation’s global contribution by offering credible and internationally verified carbon credits and green energy attributes.
Evy elaborated that PLN has actively developed a diverse portfolio of renewable energy projects, which now serve as the foundation for its robust carbon trading and Renewable Energy Certificates (REC) initiatives.
Key flagship projects include the Asahan III Hydropower Plant (1.25 million tons CO₂e), the Jatigede Hydropower Plant (396 thousand tons CO₂e), and the Nusantara Capital City Solar Power Plant + Battery Energy Storage System (BESS) (92 thousand tons CO₂e). All these projects are currently undergoing Gold Standard registration, collectively promising an annual emission reduction potential exceeding 1.6 million tons of CO₂e.
Meanwhile, Andreas Bjelland Eriksen, Norway’s Minister of Climate and Environment, underscored that this partnership signifies a natural continuation of the long-standing relationship between the two nations in their shared climate mitigation efforts.
“Following our successful cooperation in tropical forest protection, we are now expanding our collaboration into clean energy through the Article 6 mechanism. This program is not merely about achieving significant emission reductions; it’s also fundamentally about building a credible international carbon market,” Eriksen affirmed.
Eriksen further clarified that this cooperation encompasses the development of large-scale renewable energy projects, such as floating solar power plants, which hold the potential to yield emission reductions of up to 12 million tons of CO₂e, attracting hundreds of millions of US dollars in investment over a decade.
“We foresee immense potential to broaden our cooperation to include other cutting-edge technologies like wind, geothermal, and pumped hydro,” he added.
Beyond the pivotal partnership with Norway, PLN also formalized its commitment by signing a Memorandum of Understanding (MoU) with CarbonEx Japan, effectively paving the way for cross-border carbon market development.
“This partnership transcends mere business; it stands as a powerful symbol of global trust and collaboration aimed at accelerating decarbonization,” Evy stated unequivocally.
Through its collaboration with CarbonEx, PLN is strategically expanding the reach of its carbon credit and REC trading to the discerning markets of Japan and East Asia. This initiative focuses on comprehensive business model development and significant human resource capacity building in the critical fields of carbon and green energy.
“The energy transition is more than just a target; it is a collective responsibility. PLN stands ready to be a strategic global partner in realizing inclusive, affordable, and sustainable clean energy for all,” Evy asserted.
PLN Unveils Green Energy as a Service (GEaS) Solutions
During the “Seller Meet Buyer” session, Abdan Hanif Satria, PLN’s Executive Vice President (EVP) of Corporate Business Development and Investment, presented the strategic Green Energy as a Service (GEaS) initiative, meticulously designed to assist global corporations in achieving their NZE targets.
“PLN aims to be a long-term partner in our customers’ decarbonization journeys. We offer two primary products: carbon credits (SPE-GRK) and Renewable Energy Certificates (RECs), enabling companies to secure their emission reduction strategies with stable pricing and volume,” he explained.
Abdan further elaborated on PLN’s ambitious plans, stating that the company is preparing an additional 52.4 gigawatts (GW) of renewable energy capacity by 2034. “From this expanded capacity, we project green electricity production to exceed 1.06 TWh over the next decade,” Abdan revealed.
Furthermore, he highlighted that PLN is now actively opening up forward offtake collaboration opportunities for up to 1 GW of renewable energy projects for the 2026-2028 period. These include floating solar power plants in Jatigede, Gajahmungkur, and Kedungombo, alongside wind power plants in Aceh and onshore solar power plants in Banyuwangi, Pasuruan, and Buleleng.
“We offer a diverse range of cooperation schemes, from spot and forward offtake to long-term green power supply, empowering our global partners to secure reliable green energy supplies from PLN’s credible projects,” Abdan clarified.
As an integral part of PLN’s burgeoning green business ecosystem, PLN Energy Management Indonesia (PLN EMI) plays a pivotal role in managing carbon projects and renewable energy certificates.
Henri Firdaus, CEO of PLN EMI, elaborated that the company currently manages nine active projects and five under development, collectively offering an annual emission reduction potential exceeding 1.6 million tons of CO₂e.
Notable projects within their portfolio include the Asahan III Hydropower Plant in North Sumatra, the Jatigede Hydropower Plant in West Java, and the Nusantara Capital City Solar Power Plant + BESS in East Kalimantan.
“We ensure that every project delivers a tangible impact on emission reduction and provides significant social benefits to local communities,” Henri affirmed.
Furthermore, PLN EMI is instrumental in issuing and trading RECs and SPE-GRK certificates, which companies utilize to offset their Scope 1, 2, and 3 emissions. “Our ambition is to be a partner that brings transparency, credibility, and reliability to industries committed to pursuing a green pathway,” Henri concluded.
Summary
Indonesia, through PT Perusahaan Listrik Negara (PLN) Persero and the Global Green Growth Institute (GGGI), signed a Framework Agreement with Norway at COP30, strengthening its role in clean energy transition and global carbon markets. This collaboration, under Article 6 of the Paris Agreement, targets reducing emissions by up to 12 million tons of CO₂e through bilateral carbon trading. Norway views this partnership as a continuation of climate efforts, aiming to build a credible international carbon market and attract significant investment for renewable energy projects. PLN underscored its commitment to becoming a green energy provider, supporting Indonesia’s Net Zero Emission 2060 target and offering internationally verified carbon credits.
Beyond the Norway partnership, PLN also signed an MoU with CarbonEx Japan to develop cross-border carbon markets in East Asia. PLN introduced its Green Energy as a Service (GEaS) solutions, offering carbon credits and Renewable Energy Certificates (RECs) to global corporations for achieving Net Zero Emission targets. The company plans to add 52.4 GW of renewable energy capacity by 2034 and offers forward offtake opportunities for new projects like floating solar and wind. PLN Energy Management Indonesia (PLN EMI) manages various carbon projects, including major hydropower and solar plants, ensuring tangible emission reductions and social benefits.
