The development of climate law in Indonesia cannot be separated from the international climate legal regime. Indonesia has ratified key international legal instruments: the UNFCCC (1992), the Kyoto Protocol (1997), and the Paris Agreement (2015). These instruments collectively form the foundation of national climate law, implemented through three separate national regulations.

For businesses, fluency in international climate law is no longer optional, it is a risk-management imperative. The architecture behind Nationally Determined Contributions informs national targets that cascade into sectoral caps and investment priorities. Reporting rules for companies increasingly draw from global standards. Carbon markets and taxes are moving from concept to cash flow. Climate finance mechanisms determine which projects qualify for concessional capital, and which do not. Understanding this legal scaffolding is the difference between waiting for regulation and shaping strategy ahead of it.

That is why, at CarbonAccounting.ID, we invest in legal capability as deliberately as we do in data and engineering. Our legal experts Hafizh Amrullah, S.H., LL.M., and Muhammad Solihin Saiful, S.H., M.H., have completed the “Climate Change International Legal Regime (CCILR)” training and examination administered by the U.N. Institute for Training and Research and the U.N. Environment Programme.

Building on that foundation, our team is preparing a practical guidebook on climate law and governance for Indonesian businesses, translating treaty text and technical guidance into board-level decisions, compliance workflows and audit-ready documentation.

International climate law is a highly dynamic and rapidly evolving field. In the near future, we will face urgent cross-jurisdictional legal challenges, particularly in the context of international trade. For instance, the European Union’s Carbon Border Adjustment Mechanism has entered its transition phase, with the United Kingdom advancing its own CBAM and China piloting a Carbon Footprint Management System. These measures will test exporters’ disclosures, verification capacity and emissions baselines. They will also reshape procurement, pricing and contracts. Companies that treat these as distant policy debates will likely face immediate commercial consequences.