As the impacts of climate change intensify, businesses face increasing pressure to reduce their carbon footprints and address the environmental consequences of their operations.
To help organizations meet these challenges, CarbonEthics helps businesses accurately measure, reduce, and sequester their emissions, ensuring that their sustainability strategies are both impactful and aligned with global standards. They offer three core solutions: Tree Planting, Nature-Based Carbon Projects, and Carbon Consultancy.
Through these solutions, CarbonEthics enables companies to not only achieve their decarbonization goals but also take a leadership role in creating positive environmental, societal, and economic change, making a tangible contribution to the fight against climate change.
The challenges of climate change are complex and cannot be solved alone. Addressing these issues requires collective action from businesses, institutions, and individuals. That’s why CarbonEthics is focused on engaging companies and organizations to drive natural restoration efforts as part of their decarbonization strategies.
Berdaya Talk is an initiative that explores the stories of change makers and the initiatives they have developed to support sustainable development in Indonesia. This time, we are joined by Jessica Novia – Co-Founder and Chief Impact Officer at CarbonEthics
Tell us about your journey and how you started CarbonEthics
I was born and raised in Pekalongan, a coastal town in Indonesia that is predicted to be 90% submerged in just 10 years from now. If you’re wondering whether my house has submerged too, the answer is yes.
The ADB report ranks Indonesia among the top third country in terms of climate risk, and with 70% of Indonesia’s population living in coastal areas, many rely on the ocean for their livelihoods and nutritional needs.
Given this reality, I became deeply concerned about the urgent need to address climate change. In 2018, I represented my company at the One Young World Summit in the Netherlands, where I met Bimo and Innandya. We quickly connected over our shared passion for tackling environmental issues. This encounter sparked a sense of shared responsibility, and we realized the potential to create something meaningful together. Driven by the severity of the climate crisis and our collective determination, we founded CarbonEthics.
Our mission was clear: to restore climate balance by preserving and revitalizing Indonesia’s natural ecosystems, while improving the livelihood of local communities and biodiversity. Over time, CarbonEthics has grown to be a trusted partner that accelerates the journey toward net zero.
Understanding the Blue Carbon Ecosystem
Blue carbon refers to the carbon captured and stored by coastal ecosystems like mangroves and seagrasses. These ecosystems can sequester carbon up to 10 times more effectively than terrestrial forests (Wylie et al., 2016). As an archipelagic nation with 17,000 islands, Indonesia boasts the richest blue carbon ecosystems in the world, including the largest mangrove forests, which span 3.4 million hectares.
These mangroves are capable of storing approximately 3.1 billion tons of carbon, (World Bank, 2023). However, these ecosystems face significant challenges due to degradation, with 40% lost over the past three decades because of land conversion and damage.
This loss also reduces fish stocks, heightens disaster recovery costs, and releases stored carbon, significantly impacting fisheries, tourism, and climate mitigation efforts, with potential economic losses in the billions (Mckinsey & Company, 2022; WeForum, 2023).
CarbonEthics was born out of our deep concern for Indonesia’s environmental, societal and economic challenges, aiming to address these issues through community-based ecosystem restoration.
Combining technology and community for impact
CarbonEthics believe that combining local communities and technology is essential for creating sustainable tree planting and nature-based carbon projects. Empowering farmers with digital skills training equips them to maintain the integrity of these initiatives.
Additionally, digital monitoring systems promote transparency and accountability, enabling both farmers and participants to actively track project progress. This collaborative approach fosters shared responsibility within the community, ensuring that everyone is invested in the success of the projects.
Their integrated approach includes linking climate restoration efforts with community livelihoods through blue carbon restoration, which engages coastal communities in creating sustainable products such as soap and batik.
CarbonEthics’ “Rumah Rendah Karbon” project further supports this by facilitating a 3-year transition for communities they work with to become self-sufficient, promoting the production of community-based sustainable goods and mangrove-derived products.
Impact In and Out Of The Waters
Over the past five years, CarbonEthics has made a significant impact by addressing environmental, social, and economic challenges.
They’ve conducted pre-feasibility studies across 4.2 million hectares, identified 1 million tons of potential high-quality CO2e credits, and planted over 288,000 coastal biota, which sequestered 12.4 million kilograms of carbon.
Socially, they’ve reached over 1.3 million people and directly supported underserved communities, including increasing farmer incomes in Bintan by 2.5 times. They managed to attain B Corp certification, which reflects their commitment to creating lasting, positive change for both communities and the planet.
In addition to community development through creative economy initiatives, CarboneEthics ensures projects are beneficial to local communities by implementing a benefit-sharing plan that involves engaging with local communities to understand their needs.
A recent example of this is their project that establishes a 700-meter-long and 3.5-meter-wide road, providing alternative access from Tanjung Siambang to Tanjung Setumu Coast. Previously, this area was isolated and inaccessible during heavy rains due to sand accumulation.
The newly reclaimed road not only improves accessibility but also helps reduce coastal abrasion and pollution, as the new materials can absorb water. According to a survey conducted among local residents, the recent road conditions and safety have increased by nearly 100%, significantly supporting the daily activities of the locals.
Challenges in the Blue Carbon Space
Those big strides they’ve managed to achieve did not come with its challenges. One of them being navigating the evolving regulatory landscape as Indonesia develops its carbon market.
Though the regulatory framework is still nascent and is still taking shape, CarbonEthics saw this as an opportunity to engage actively with policymakers and contribute to shaping a more supportive environment. Through collaboration and participation in policy discussions, they’ve helped create clearer guidelines that support sustainable growth in the carbon market.
At the same time, increasing market acceptance was a priority. Early on, there was limited awareness of the value of blue carbon ecosystems.
CarbonEthics tackled this by launching educational campaigns and forming strategic partnerships with key stakeholders, which allowed them to build trust and demonstrate the long-term benefits of their efforts. These initiatives have played a significant role in fostering broader engagement and expanding the market for tradable carbon credits.
We position our carbon credits by emphasizing the integrity and multifaceted benefits of our projects. We ensure the integrity of our projects by ensuring additionality, conducting comprehensive monitoring, reporting, and verification, and adhering to recognized certification standards.
Beyond carbon offsetting, CarbonEthics’ nature-based initiatives focus on restoring degraded habitats, conserving biodiversity including endangered and endemic species. In the process they arecreating job opportunities, and improving the livelihoods of local communities. This holistic approach appeals to buyers seeking solutions that align with their broader sustainability goals.
What are some lessons you've learned throughout your journey in CarbonEthics?
One key lesson I have learned in scaling CarbonEthics is the power of consistency. Whether it’s delivering high-quality conservation work, building trust with various stakeholders, or continuously improving our solutions, consistency has helped us build a solid reputation and foster long-term relationships. This dedication to reliability and steady progress has played a key role in our growth and success.
At CarbonEthics, we find that keeping our vision and mission on track is not the main challenge, we’re deeply committed to restoring nature and addressing climate balance, while improving the livelihood of local communities and biodiversity.
The real challenges come during implementation. For example, securing sustainable funding, advocating for policy changes, and getting long-term commitments from partners can be tough.
To navigate these hurdles, we focus on building strong partnerships, staying adaptable to changing circumstances, and maintaining open communication about our progress. We recognize that addressing the climate crisis requires continuous innovation and collaboration, and we’re dedicated to evolving our strategies as new scientific insights and technologies emerge.
What are some exciting trends in the blue carbon space you are on the lookout for?
Looking ahead, carbon markets hold great potential, particularly in Indonesia’s blue carbon ecosystem. With its rich biodiversity, Indonesia is well-positioned to lead in blue carbon, using nature-based solutions to address climate change.
While challenges exist in generating substantial revenue, carbon markets offer critical financial support for ecosystem restoration and sustainable development, positioning Indonesia as a key player in global climate action.
In Indonesia, the government is actively promoting blue carbon initiatives, which is great news, recognizing that mangroves and seagrasses play a crucial role as part of its climate strategy. With Indonesia holding a substantial portion of the world’s blue carbon stocks, there’s a strong emphasis on initiatives that prioritize these ecosystems.
This focus not only aims to mitigate climate change but also supports local communities economically, making it an exciting time for environmental sustainability efforts in the region and I’m looking forward to contributing to both environmental sustainability and economic development.
For those who are new to carbon credits or passionate about sustainability, what advice would you give to someone looking to get involved in climate tech or carbon project development?
For those new to carbon credits or passionate about sustainability, it’s important to understand that climate action goes beyond just carbon. While carbon credits are essential, true impact comes from supporting projects that also address broader environmental, social, and economic issues.
Focus on initiatives that restore ecosystems, protect biodiversity, and strengthen coastal communities, like mangrove restoration or marine conservation.
These nature-based solutions not only sequester carbon but also enhance resilience, preserve local ecosystems, and improve livelihoods. By taking a holistic approach and looking beyond carbon alone, you can help foster sustainable, long-term solutions that benefit both the planet and the people who depend on it.
Lastly, is CarbonEthics expanding right now? How can people passionate about climate action support your mission or get involved with your projects?
Yes, CarbonEthics is expanding its impact, starting with developing expertise in blue carbon ecosystems, CarbonEthics is now broadening its expertise to include peatland and green ecosystems.
We are always looking for passionate individuals to support our mission. If you’re interested in getting involved, you can contribute by inviting your team to participate in our tree-planting eco trip where you will have a fun insightful day in the mangrove forest, or financing the development of nature-based carbon projects.
