Indonesia Introduces Carbon Trading

Indonesia recently rolled out a carbon-trading mechanism for its coal-fired power plants. It will cover 99 plants which will be provided with a quota of 20 million metric tons (mt) of CO₂ equivalent, according to the Carbon Herald. The mechanism will enable plants that exceed their emissions quota to purchase carbon allowances from producers who stayed below their quota, or alternatively from plants that produce renewable energy. The scheme will only apply to plants that have a minimum of 100-MW production capacity.