Antalya, November 12, 2026 — Indonesia and Norway signed a Mitigation Outcome Purchase Agreement (MOPA) on Wednesday on the sidelines of the 31st Conference of the Parties (COP31) to the United Nations Framework Convention on Climate Change (UNFCCC) in Antalya, Türkiye, in a deal aimed at accelerating the country’s green energy development.
Under the agreement, Norway will purchase up to 12 million tonnes of carbon dioxide equivalent (CO₂e) in emissions reductions generated by solar power projects developed by state-owned electricity company PT PLN. The carbon units are valued at between USD 20 and USD 40 per tonne of CO₂e, making the deal one of the largest carbon trade recorded under the UNFCCC secretariat to date.
Facilitated by the Global Green Growth Institute (GGGI), the agreement is expected to provide Indonesia with a sustainable financing mechanism for its energy transition while enabling both countries to advance cooperation under Article 6.2 of the Paris Agreement.
Article 6.2 provides a framework for countries to cooperate in reducing emissions through bilateral arrangements, allowing nations with surplus emissions reductions to transfer them as credits to countries seeking to meet their climate targets.
Environment Minister Jumhur Hidayat said the agreement would help Indonesia mobilize carbon finance to support its energy transition and advance its national climate commitments under its Second Nationally Determined Contribution (NDC).
The Second NDC projects that Indonesia’s greenhouse gas (GHG) emissions will peak at between 1.35 and 1.49 gigatons of carbon dioxide equivalent (Gt CO₂e) in 2030, before declining to between 1.26 and 1.49 Gt CO₂e by 2035 under different low-carbon development scenarios.
Jumhur said the cooperation would also support efforts to strengthen Indonesia’s Carbon Unit Registry System (SRUK), a national carbon registry launched on July 9 designed to record the entire lifecycle of the country’s carbon units and serve as the single source of truth for Indonesia’s Carbon Economic Value (Nilai Ekonomi Karbon/NEK).
“Through this cooperation, we seek to mobilize carbon finance to support Indonesia’s energy transition and contribute to our national climate targets,” said Jumhur, who witnessed the agreement signing.
Norwegian Climate and Environment Minister Sigrun Aasland, who also attended the signing, said the agreement underscored Norway’s support for President Prabowo Subianto’s ambitious target of developing 100 gigawatt-peak (GWp) of solar power capacity in Indonesia, as the initiative would not only provide communities with access to green electricity but also create jobs and drive local development.
Aasland said Norway had seen Indonesia’s commitment to realizing the solar power projects, convincing it that the country was ready to deliver climate solutions at scale.
“It is a hugely ambitious goal and exactly the kind of ambition Norway wants to support. It is an ambition that can bring development to communities across Indonesia, strengthen energy security and cut emissions on a very large scale,” she said.
“The sooner the solar panels produce electricity, the sooner emissions come down, and we want to support projects that can start operating soon,” Aasland added.
The energy transition has been one of Indonesia’s key priorities at COP31, as the country seeks to secure international climate financing while ensuring that the shift to cleaner energy is equitable and benefits local communities.
The agenda is also part of the government’s broader efforts to increase the share of renewable energy in the country’s power mix, as outlined in the 2025–2034 Electricity Supply Business Plan (RUPTL). Under the plan, Indonesia aims to add 42.6 gigawatts (GW) of new and renewable energy capacity, accounting for around 61 percent of the planned additional power generation capacity by 2034.
