Indonesian government has on Tuesday launched its the country’s first carbon exchange IDXCarbon, to reduce Indonesia’s carbon emissions and drive Indonesia’s transition to reach net zero emissions by 2060.

ACX (AirCarbon Exchange) which is operating its proprietary regulated environmental asset trading platform, is the technology provider the Indonesia’s carbon exchange hosted and operated by the Indonesia Stock Exchange (IDX) after a competitive request for proposal process.

“With ACX support, IDXCarbon has reached a key milestone towards achieving net zero emission in 2060 or sooner,

“We anticipate a thriving and enduring collaboration with ACX that will continue to drive innovation and success, as the Indonesian carbon market develops.” IDX President Director Iman Rachman said in a statement.

IDXCarbon has been customized by ACX to meet the country’s unique requirements, as well as aligned with Indonesian institutions, including the National Registry System for Climate Change Control (SRN-PPI).

This will ensure the exchange is compliant with Indonesia’s standards and procedures, as well as the requirements recently established by the OJK, the country’s financial services authority.

ACX provides a complete end-to-end solution that utilizes blockchain technology to ensure the transparency and auditability of all trades transacted on the exchange.

With that, the exchange will play a central role and promote transparency, accountability, and efficiency in the Indonesian carbon market.

“We are honored to be the technology provider for Indonesia’s carbon exchange and to contribute towards the country’s vision of a fair and inclusive carbon ecosystem,” said Thomas McMahon, co-Chief Executive Officer and Co-Founder of ACX.

“Our end-to-end solution will enable the exchange to provide comprehensive services,

“This will make it easier for companies to access and participate in the carbon market, ultimately driving down Indonesia’s carbon emissions and contributing to global sustainability efforts,” he added.

Hum Wei Mei, Head of Asia Pacific (APAC) and Global Head of Environmental Products, said that Indonesia has a critical role to play in international climate action while IDXCarbon is at the heart of ensuring that Indonesia’s carbon market progresses as envisioned.

“As the technology provider to IDXCarbon, ACX is committed to working closely with IDX to implement a highly customized, iconic and state-of-the-art carbon exchange which will act as critical supporting infrastructure for Indonesia’s long-term plans and interests in emissions trading, carbon markets & climate action,” she said.

With a global footprint covering Asia, the Middle East, Europe, North and South America, ACX said the firm has demonstrated itself to be a leading technology provider with a proven track record of designing and implementing carbon trading system worldwide, leveraging the company’s expertise and experience to ensure a robust and reliable platform for trading environmental assets.

ACX group, including ACX Ltd and AirCarbon Pte. Ltd., which operate environmental exchanges in Abu Dhabi and Singapore respectively, caters to corporates, financial traders, carbon project developers and other industry stakeholders.

The firm provides participants with an efficient and transparent trading platform that is user-friendly, seamless and offers the lowest transaction fees in the market.

Leveraging distributed ledger technology, the firm facilitates and scales growth of the environmental product markets to align with global ambitions of achieving Net Zero.

IDX is the stock exchange in Indonesia with more than 850 listed companies and a total market capitalization of more than $650 billion.

The exchange continuously providing trusted infrastructures to establish a fair, orderly, and efficient capital market in Indonesia.

It promotes a sustainable capital market through various initiatives and works closely with all stakeholders to establish innovative products, improve transparency, and guarantee investor protection.

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