FCPF 2025 Annual Report

The Forest Carbon Partnership Facility (FCPF) 2025 Annual Report highlights a year of strong progress in results-based climate finance and in helping countries prepare for the next phase of high-integrity carbon markets.

January, 2026
Indonesia Completes Delivery of Contracted Emission Reductions Under the FCPF
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Indonesia Completes Delivery of Contracted Emission Reductions Under the FCPF
January, 2026
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Indonesia has delivered a total of 26.2 million tons of verified emission reductions (tCO₂e) under the East Kalimantan Emission Reductions Program. Of these, 22 million emission reductions were contracted and paid for by the Forest Carbon Partnership Facility (FCPF).   

The contracted emission reductions were delivered within the 2019/2020 reporting period, completing the volume contracted under the Emission Reductions Payment Agreement (ERPA), which has now concluded. 

The total payment of US$110 million was made in two tranches—an advance payment of US$20.9 million in November 2022, followed by a further payment of US$89.1 million in December 2025. In line with the Emission Reductions Payment Agreement, the use and distribution of proceeds are governed by Indonesia’s consulted and publicly disclosed benefit-sharing plan. 

The remaining 4.2 million verified emission reductions were generated beyond the volume contracted under the ERPA and may be used for future purposes determined by the Government of Indonesia, including potential monetization. In the event of monetization, the benefit-sharing plan would apply.