BPDLH opens phase 2 grant funding programme for low-carbon projects

Phase 2 is now open to all parties that did not have the opportunity in phase 1.

Jakarta (ANTARA) - The Environmental Fund Management Agency (BPDLH) has opened the Call for Proposals (CFP) Phase 2 for the Low Carbon Development Initiative-Innovation and Technology Fund (LCDI-ITF) programme.

The LCDI-ITF provides funding support for pilot projects focused on low-carbon development, accelerating climate innovation projects, and implementing environmentally friendly technologies.

“Phase 2 is now open to all parties that did not have the opportunity in phase 1,” said BPDLH Director General Joko Tri Haryanto during the Signing of Cooperation Agreements between BPDLH and LCDI-ITF Project Beneficiaries in Jakarta on Tuesday.

Joko explained that in this phase 2, LCDI-ITF funding will focus on four priority sectors, differing from phase 1 which targeted five sectors.

In phase 2, the priority sectors include energy; transportation; agriculture, forestry, and other land use (AFOLU); and coastal and marine ecosystems. The waste sector is no longer a priority.

The project working areas cover 38 provinces in Indonesia, with six priority provinces: North Sumatra, Riau, Bengkulu, Bali, Papua, and West Papua.

In addition, priority will be given to projects covering 3T Regions (Disadvantaged, Frontier, and Outermost).

The target beneficiaries of this funding programme include grassroots communities, Indigenous Legal Communities, local communities, women’s and children’s groups, disability groups, and/or other vulnerable groups located within and/or around the provincial government management areas.

Submissions for CFP Phase 2 can be made from 11 March to 17 April 2026. The signing of grant agreements with proposal submitters is targeted for June 2026.

The planned budget and cost value in each proposal that can be submitted is a maximum of £250,000 (GBP) or equivalent to Rp4,970,178,926 (assuming an exchange rate of Rp0.0000503 per GBP). This value applies to capital expenditure (Capex) of at least 93 percent and operational expenditure (Opex) of a maximum of 7 percent.

LCDI-ITF funding will be disbursed in three stages: term 1 from June to August 2026, term 2 from September 2026 to February 2027, and term 3 from March to May 2027.

Payments for terms 2 and 3 will be made after evaluation of the project’s Key Performance Indicators (KPIs) from the previous term.