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19 publications

Blue Carbon Crediting for Indonesian Mangroves: Permanence, Tenure and Feasibility
Working Paper2025

Blue Carbon Crediting for Indonesian Mangroves: Permanence, Tenure and Feasibility

Mangrove restoration is frequently proposed as a high-integrity source of carbon credits. We assess feasibility under Indonesian conditions, focusing on three constraints rarely addressed in methodology documents: overlapping tenure claims in coastal zones, permanence risk under aquaculture price cycles, and the working-capital gap between restoration cost and first credit issuance.

Adi Nugroho & Maya Kusuma

Where Does Results-Based Climate Finance Land? Tracing REDD+ Payments in Central Kalimantan
Working Paper2025

Where Does Results-Based Climate Finance Land? Tracing REDD+ Payments in Central Kalimantan

We trace results-based climate payments through every institutional layer between the national environment fund and forest-adjacent villages in Central Kalimantan. Combining administrative records with a survey of 400 households, we estimate that transaction costs absorb a substantial share of disbursed value and that timing mismatches between payment cycles and household needs reduce the behavioural effect of the remainder.

Adi Nugroho, Dinda Larasati & 1 others

Ecological Fiscal Transfers for Indonesia: Design Choices and Distributional Consequences
Policy Brief2025

Ecological Fiscal Transfers for Indonesia: Design Choices and Distributional Consequences

Ecological fiscal transfers reward sub-national governments for conservation outcomes through the intergovernmental transfer system. This brief sets out the three key design choices — indicator selection, formula weight and revenue source — and simulates their distributional effects across Indonesian provinces. We show that indicator choice determines whether transfers reward existing forest stock or marginal conservation effort, and argue for a hybrid formula.

Maya Kusuma & Dinda Larasati

Price Discovery in a Nascent Compliance Market: Early Evidence from IDXCarbon
Journal Article2025

Price Discovery in a Nascent Compliance Market: Early Evidence from IDXCarbon

Using transaction-level data from the first twenty-four months of IDXCarbon trading, we examine price formation in Indonesia's compliance carbon market. Order book depth is thin and concentrated among a small number of power-sector participants. We find limited evidence of informationally efficient pricing: prices respond to regulatory announcements with a lag of several sessions and show weak co-movement with international benchmarks. We discuss the market design changes most likely to improve depth.

Bayu Pranata & Nadia Safira

Fiscal Instruments for Climate Action: Evidence from Indonesian Sub-national Budgets
Journal Article2025

Fiscal Instruments for Climate Action: Evidence from Indonesian Sub-national Budgets

We assemble a panel of climate-tagged expenditure across 34 Indonesian provinces from 2018 to 2024 and test whether tagging changes allocation. We find that tagging alone has no detectable effect on the level of climate expenditure, but that provinces which pair tagging with outcome indicators and public reporting increase climate-relevant capital spending by 11 to 14 percent relative to the control group. The results suggest that fiscal transparency infrastructure, not classification per se, is what shifts budgets.

Rina Hapsari, Reza Fadhilah & 1 others