Indonesia to set emission quotas for several coal-fired power plants

(VNA) - Indonesia has set a target of issuing emission quotas for some coal-fired power plants within this month as a first step towards creating a mechanism for domestic carbon trading.

Last year, Indonesia, among the world's biggest greenhouse gas emitters, set a more ambitious goal of reducing carbon emissions by 31.89% on its own or 43.2% with international support, by 2030.

That compared to its 2015 Paris Agreement pledge to cut emissions by 29% or 41% with international help.

Mohamad Priharto Dwinugroho, an official of the Ministry of Energy and Mineral Resources, said that the quotas will be set the latest by January 31. After obtaining the quotas, businesses are required to carry out carbon trading.

The first phase of carbon trade will cover coal power plants with minimum 100 megawatt capacity that are directly connected to power grids owned by state utility Perusahaan Listrik Negara (PLN), according to Dadan Kusdiana, another ministry official.

There are 99 coal plants with a combined installed capacity of 33.6 gigawatts (GW) that may join the carbon trade this year, ministry data showed.