Indonesia-UK PACT carbon pricing market engagement webinar

Date: 28 May 2025

Time: 14:00-16:00 (WIB)/ 7:00-9:00 (UTC)

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Join our market engagement webinar to find out how you can apply for grant funding for the carbon pricing Call for Proposals, within the Indonesia-UK PACT fund. At this webinar, we will provide further details on the programme, including the process and requirements of this call. Please note that this event will be hosted in English.

Who is this event for?

We invite all organisations with relevant experience in delivering technical assistance and capacity-building projects in the carbon pricing sector to register. This could be both international and local think-tanks, consultancies, academic institutions, NGOs, professional associations, or any similar organisations that have the knowledge, skills, and experience to deliver an eligible project. 

Private sector entities and UN agencies are welcomed.

What will we be funding?

We are seeking proposals for projects that strengthen the enabling environment for carbon pricing in Indonesia and help align carbon pricing instruments with the country’s broader climate and development priorities. Building on existing UK PACT collaboration and lessons from Phase I, this call aims to support a focused set of strategic interventions that accelerate readiness for carbon pricing implementation as part of high integrity carbon credit, encourage private sector engagement, and foster robust, transparent, and inclusive systems.

Proposals should be responsive to government priorities, technically sound, and designed to complement ongoing initiatives including other development programmes. While the scope of this call is targeted, applicants are encouraged to demonstrate innovation and collaboration, especially where proposals can help connect regulatory, market, and institutional elements in a coherent way.

We have identified two key projects themes:

Theme 1: Regulatory and policy framework
This theme focuses on supporting the development and alignment of regulations and plans related to carbon pricing at both national and sectoral levels. Activities may include drafting or reviewing regulatory instruments, aligning sectoral policies with national targets, and providing technical support for the preparation and implementation of sectoral roadmaps. Capacity building, comparative studies, and thematic workshops may also help inform policy development and improve understanding of technical considerations.

Theme 2: Carbon market strategy and infrastructure
This theme supports the development and improvement of systems and processes that underpin carbon market operations. Activities may include strengthening registries and MRV systems, supporting the integration of high-integrity principles into policy and regulations, linking carbon markets strategically and operationally to Indonesia’s wider climate policy including the NDC, and analysing options for international linkages of markets or emissions trading schemes. Benchmarking and learning from international experiences, best practices, and guidance, may also support planning and design.

What funding is available?

This Call for Proposals aims to select up to two separate projects, one under each thematic area. Each selected project will receive funding for a duration of up to 15 months, with a possibility of extension.
  • Theme 1, the maximum funding is up to £450,000.
  • Theme 2, the maximum funding is up to £650,000.
An organisation may submit a proposal for either (or both) of the identified themes. A separate proposal should be prepared per theme, if applicable. While we aim for projects to start on 1 October 2025, the exact duration will depend on the actual start date, with funding available through December 2026. 

Tentative timeline

Indonesia UK PACT carbon pricing sector 2025 v3

About the Indonesia-UK PACT fund

Indonesia-UK PACT continues to build on the strong foundation of bilateral climate cooperation, while expanding its support for policy innovation and institutional strengthening in critical sectors including low-carbon transport, energy efficiency, and carbon pricing.

The fund is deepening engagement in carbon pricing—one of Indonesia’s most strategic climate policy areas. The programme works closely with key government stakeholders to enhance readiness for implementing market-based mechanisms, strengthen the enabling environment, and unlock emissions reduction opportunities through effective carbon pricing instruments.

This Call for Proposals specifically responds to the demand for technical assistance and capacity-building in Indonesia’s carbon pricing ecosystem. It seeks to address pressing needs related to regulatory refinement, market infrastructure development, and institutional capacity, ultimately supporting the country’s climate targets and transition to a more sustainable, low-carbon economy.

All updates relevant to this call will be communicated via the Indonesia-UK PACT web page.