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Governments are still at loggerheads over the timeline for publishing the Intergovernmental Panel on Climate Change’s (IPCC) next three-part report, after countries doubled down on existing positions at a meeting in Bangkok.

Last week, around 330 delegates from more than 100 countries met in Thailand for the 64th session (IPCC-64) of the UN’s climate science body.

The meeting, set against the backdrop of a global energy shock triggered by war in the Middle East, comes more than two-and-a-half years into the IPCC’s seventh assessment cycle (AR7).

There was disagreement on a range of issues, including the workplan for the cycle’s “working group” reports.

For five consecutive meetings, countries have failed to agree on whether the reports should be completed before, or after, the second “global stocktake” process under the UN Framework Convention on Climate Change (UNFCCC), due to culminate in 2028.

IPCC chair Prof Jim Skea tells Carbon Brief the “frustrating and disappointing” meeting delivered “minimal outcomes”.

“We made some formal decisions by consensus, but I would say they were more to postpone the decision making than they were to take decisions,” he says.

AR7 report timeline

As is typical for an IPCC assessment report cycle, AR7 will include three “working group” reports – on the physical science of climate change, impacts and adaptation, and mitigation. These will be summarised in a synthesis report.

Work is already underway on the three headline reports, as well as a special report on cities and climate change and methodology reports on carbon dioxide removal technologies and inventories for short-lived climate forcers.

However, countries are yet to reach an agreement as to when the three headline reports will be published, after deadlocked negotiations at meetings at Lima, Hangzhou, Sofia and Istanbul.

A coalition of developing and developed countries have backed a plan – proposed by the IPCC’s co-chairs – that would see the three reports published in 2028. This would enable their findings to feed into the second global stocktake, due to conclude that year at the COP33 conference.

The global stocktake is a five-yearly appraisal of global progress on tackling climate change that is designed to inform the national climate goals countries must submit to the UN under the Paris Agreement.

A separate group of countries, including China, India, Kenya, Russia and Saudi Arabia, have argued for a longer timeline on the grounds that developing nations need more time to review and approve the reports, according to reports from inside the meeting. This would mean some of the working group reports would be published after the second global stocktake is completed.

Dr Bill Hare, CEO and senior scientist at Climate Analytics, tells Carbon Brief that “the majority of countries, across geographies and levels of development, including least developed countries and small island developing states” support a timeline where the AR7 reports align with the stocktake.

Speaking during the opening session of IPCC-64, UNFCCC executive secretary Simon Steill said that 194 nations who attended COP30 in Belem last year had “emphasised the critical importance of the IPCC’s work in ensuring that the best available science feeds into the global stocktake”.

The timeline of the AR7 reports was not on a provisional agenda released ahead of the meeting.

However, the contentious issue was belatedly added to the agenda on the meeting’s first day, according to the Earth Negotiation Bulletin (ENB) reporting from inside the meeting.

This came after objections about the omission from a raft of countries, including Algeria, China, Egypt, Kenya, India, Russia, Saudi Arabia, South Africa and Venezuela.

According to the ENB, Saudi Arabia “insisted” the issue be included on the agenda and warned that deferring it to the next meeting “risked a scenario in which the budget would not be approved and further work would be delayed”.

In response to calls for clarification on why there was no formal agenda item on report timelines, IPCC AR7 chair Prof Jim Skea said the secretariat had “not detected the flexibility” among governments that could lead to its resolution, according to the ENB.

Skea thus proposed that “informal consultations” would be held in order to “identify the basis for any flexibility”. He also suggested the subject be discussed in a session earmarked for “any other business”.

This proposal was rejected by some delegations, who argued the issue required more formal treatment and said informal consultations might not be inclusive, the ENB says.

In the end, the IPCC agreed to add the item to the agenda and establish a contact group, co-chaired by Brazil and Canada, tasked with advising the IPCC on how to make progress.

Speaking to Carbon Brief, Skea explains that the secretariat did not put the issue on the agenda because it had “very low expectations about the success of such a discussion” and felt that more preparation was needed “to build the foundations for a decision” at a future meeting.

The last-minute addition of AR7 timelines to the agenda prompted some delegations to question the inclusivity of discussions. They noted that some countries had come without permission from their governments to discuss the issue, the ENB reports, whereas others with “limited resources” had decided to skip the meeting altogether.

This position was articulated at different stages of negotiations by Antigua and Barbuda, the Netherlands and Singapore in interventions supported by Canada, China, Cuba, Mexico, South Korea and Tanzania.

Climate Analytics’ Hare explains:

“The agenda item ‘progress with the timeline of AR7’ was added at the last minute upon pressure by countries including India and Saudi Arabia, in an attempt to introduce their own timelines into the process, which would push both WG2 and WG3 to 2029.

“As the AR7 timeline was not on the provisional agenda, many developing countries with resource and capacity constraints across the continent did not attend the session.”

One observer to the talks tells Carbon Brief that logistical issues prompted by the war in Iran had contributed to some countries’ decision not to attend.

‘Heated and polarised’

Discussions about the AR7 report timeline were focused on how to reach agreement by the IPCC’s next session.

A number of solutions were proposed, including for the IPCC secretariat to hold “informal conversations” between sessions to the creation of an “options paper” based on country submissions that would be presented at IPCC-65. Ultimately, all options ultimately failed to get the consensus required to be officially ratified by the IPCC.

On Thursday, the co-chairs of a contact group tasked with advising on how to progress with the timeline issue reported that “no consensus had been reached” and said there was a need for a “further exchange of views”, according to ENB.

Singapore subsequently suggested a plan for countries to formally submit views on the topic to the IPCC secretariat, which would then summarise submissions and present an “options report” for discussion at IPCC-65, says ENB. This would allow countries that were not prepared or not present at IPCC-64 to contribute, the country delegation said.

On the other hand, the Cook Islands said that “time is of the essence and further submissions from members should not be invited”, reports ENB. The country delegation also said the report timeline presented by co-chairs in Lima provided “sufficient time” for report reviews. This intervention was supported by Australia, Belize, Chile, Dominican Republic, Finland, Italy, Luxembourg, New Zealand, Norway, Palau, Panama, Samoa and Vanuatu.

Saudi Arabia repeated objections raised at previous meetings and said there was a need to address issues relating to overlaps in report scheduling, back-to-back reviews, inclusivity and capacity, as well as how the IPCC aligns with the UNFCCC processes, reports the ENB.

Instead, Saudi Arabia suggested that a later publication of working group reports in 2028 and 2029 would “provide sufficient intervals between IPCC sessions, time for developing countries to undertake their reviews and inclusive engagement”. This intervention was backed by Bahrain, Belarus, Kenya, Russia and Yemen, according to ENB.

As in previous IPCC sessions, there were diverging opinions around whether the IPCC needed to align report production with the global stocktake.

Some countries – including Bangladesh, Panama and South Korea, emphasised the need for the reports to align with the UNFCCC process.

The Netherlands, backing the plan for countries to submit their views ahead of IPCC-65, said delivery of AR7 reports after the global stocktake would “significantly lower” their policy relevance. The delegation noted that “never before” had the timeline given rise to such “heated and polarised debate”, according to the ENB.

Others – including Saudi Arabia, China and Russia – minimised the role of IPCC reports as an input into the stocktake, reports ENB.

A selection of interventions by country delegations at the IPCC’s Bangkok meeting, as reported in the ENB’s meeting summary. ENB (2026).

A number of countries, including France, Haiti and Panama, stressed that the absence of several delegations from the Bangkok meeting, including many small-island states, made the discussions about the timeline less inclusive, according to ENB.

Skea tells Carbon Brief that none of the talking points raised by countries around AR7 reports were new:

“I didn’t hear any new arguments offered at this meeting.”

Aerial view of the IPCC's plenary session.
Aerial view of the IPCC’s plenary session. Credit: Melissa Walsh | IISD/ENB

No decision

By close of play on Thursday, Skea presented a draft decision text which proposed that governments entrust the IPCC secretariat to develop an “options paper” that would be circulated ahead of IPCC-65, with a view to making a decision at the meeting.

India, Russia and Saudi Arabia said that they would prefer the creation of a “task group” that would produce a “compilation of views and proposals” on options for the timeline, according to the ENB. This would provide the “basis for further discussion” at IPCC-65.

Skea subsequently advised IPCC vice-chair Ladislaus Chang’a to form a huddle to find a middle ground between these two approaches.

On Friday, Chang’a presented a compromise solution where the IPCC chair and secretariat would “facilitate an exchange on the timeline with a view to reaching a decision at IPCC-65”, according to ENB. This would include overseeing a “task group” that would work between now and the next session.

This “draft decision” was backed by Brazil, China, India, Kenya, Russia and Saudi Arabia.

However, Belgium, Chile, Colombia, the Cook Islands, France, Italy, the Netherlands, Norway, Panama, Sweden and Switzerland said they could not support it, ENB says.

Antigua and Barbuda, the Cook Islands and a coalition of European nations instead suggested the chair hold “informal conversations” with governments over the coming months, with a view to coming to a timeline agreement at IPCC-65, says the ENB.

Skea subsequently proposed eliminating the reference to the task group in the decision text and to postpone all further deliberations on the timeline to IPCC-65.

This proposal faced opposition from a swathe of developing and emerging-economy countries, including Algeria, Angola, Azerbaijan, Bahrain, Botswana, Burundi, Cuba, Guinea, India, Iraq, Kenya, Libya, Libya, Russia, Tanzania, Tunisia, Turkmenistan and Venezuela.

At this juncture, a growing number of countries supported pressing ahead without a decision text, citing lack of consensus as the meeting clock was running down, notes ENB.

Among these countries was Canada. Its delegation noted there was little time left in the session – and that countries had heard “basically nothing” about the scientific work of the IPCC at the meeting, reports ENB.

Despite some last-hour calls from India and South Africa for previous proposals to be revisited, no agreement was reached and no decision issued.

Review of IPCC principles and procedures

Another issue discussed in Bangkok was a review of the IPCC’s principles and procedures, which inform how the panel goes about putting together its reports.

The principles and procedures came into force in 1998 and are meant to be reviewed every five years. However, the last review was delayed due to the Covid pandemic.

Opening the agenda item on the IPCC’s principles and procedures towards the beginning of the talks on Tuesday, IPCC officials laid out 12 topics that the IPCC bureau had prioritised for review, according to the ENB. These included:

  • Author selection criteria
  • Responsibility for author selection
  • Chapter scientists
  • Scope of literature/Indigenous knowledge and local knowledge. (See Carbon Brief’s recent report on considering Indigenous knowledge within the IPCC.)
  • Selection criteria and responsibilities for review editors
  • Terms of reference for the chair, vice chairs and working group co-chairs
  • Terms of reference for technical support units
  • Developing country engagement and broader finance concerns
  • Carbon footprint and inclusivity
  • Artificial intelligence
  • Copyright
  • Timing and guidance on conflict of interest

Skea told countries that, while the bureau’s input was meant to inform discussions, it was for them to decide if a review of the principles and procedures was needed and what topics should be covered.

In discussions that followed, some countries called for the review to focus on the inclusivity of global south countries, while others said the review should be “targeted”, “focused” and “completed within a set time frame” to allow the IPCC to make swift progress.

Noting countries’ differing views, Skea proposed a huddle to discuss whether a task force on the review should be created.

On Wednesday, countries once again set out their priorities for the review.

According to the ENB, many countries “prioritised copyright, conflict of interest procedures, AI, and ensuring inclusivity by supporting the participation of developing and least developed countries and incorporating Indigenous knowledge and local knowledge”.

Many also said the “principles and procedures are working well and supported a limited review that could be completed by IPCC-65, ahead of the report approval sessions starting in 2027”, the ENB says.

A small number of countries, including Saudi Arabia, India and Russia, called for the procedures to dictate that the timing of IPCC reports should be unaffected by “external factors”.

This could be interpreted as a reference to the push for the next IPCC assessment report to coincide with the next global stocktake – something that Saudi Arabia, India and Russia oppose.

Skea proposed the establishment of a contact group to try to take discussions forward, appointing Egypt and Ireland as co-chairs.

On Friday, the contact group co-chairs told the talks that they had found no agreement on whether to complete a review of the principles and procedures at these talks or at a future session.

Skea then presented a draft decision produced by the contact group co-chairs, which stated that the “IPCC’s principles and procedures are robust and have worked well” and expressed thanks to the bureau “for their work in preparing for a review of the principles and procedures”.

In response, Saudi Arabia said the draft “lacked a clear process and could be misleading”, with India adding that the “group had not reached agreement”, according to the ENB.

Colombia suggested “specifying that the review of principles and procedures had ended and would be considered again in 2031”, it continues.

This idea was opposed by Saudi Arabia, who said the “review has just begun”.

India, Kenya and Saudi Arabia also opposed language indicating the principles and procedures “have worked well and are robust”.

Norway “observed that lack of consensus could be interpreted to mean that no amendments of the principles and procedures were appropriate and the panel could consider the review complete”, according to the ENB.

Skea presented a slightly revised text for adoption, which was adopted without further discussion.

The text notes the “diversity of views expressed at the session” and “decides to consider the review of the IPCC principles and procedures at future sessions, as appropriate”.

The ENB notes that this outcome left countries confused, saying:

“Some countries saw lack of consensus as an indication that discussions on the issue are now complete, while others believe the review process has just begun.”

Approval of meeting summaries

In what could be viewed as a signifier of the high levels of disagreement between countries, the talks failed to approve the meeting reports from its past three sessions in Peru, China and Bulgaria.

(The approval of the reports from China and Bulgaria had already been shifted to this meeting after countries failed to agree to them at previous sessions.)

During discussions on Wednesday, many European countries, along with Panama, complained about a “lack of transparency” in the reports, according to the ENB.

They suggested that countries making interventions should be named in the reports and that the number of speakers showing their support or opposition to an issue should be included.

This idea was opposed by Saudi Arabia.

In response, Skea called for a huddle to convene to discuss the matter further.

On Friday, Skea noted that some countries had suggested that the “quality” of the report from the most recent meeting in Peru was higher than those from China and Bulgaria and suggested that countries adopt it.

Germany opposed this, expressing “openness” to further revisions of the report, in light of “diverging views” and a “lack of consensus in the room”, according to the ENB.

France requested that “past and future reports include everything that has been said by all delegates”, a view that was described as “unacceptable” by Saudi Arabia.
Skea said the lack of consensus from countries meant the issue would be deferred to the next IPCC meeting. This was reflected in a text adopted at the meeting.

Funding crunch

The IPCC receives funding from its parent organisations, the World Meteorological Organization (WMO) and UN Environment Programme (UNEP), in addition to voluntary contributions from its member governments and the UNFCCC. This money is held in a “trust fund”.

According to the IPCC, the trust fund “supports IPCC activities, in particular the participation of developing country experts in the IPCC, the organisation of meetings as well as publication and translation of IPCC reports”.

However, in her opening remarks at last week’s meeting, UNEP executive director Inger Andersen warned that “expenditures from the IPCC trust fund have exceeded contributions over the last few years”, according to the ENB. She added:

“If this continues, the trust fund’s cash balance will be depleted before the end of the seventh cycle, impacting both this cycle and the transition to the next.”

The IPCC secretariat presented nine different IPCC funding scenarios for 2026-29 to the delegates. These scenarios include three different future expenditure levels, ranging from a “business as usual” scenario to a “severe spending cuts” scenario, which would see “fully virtual operations with suspension of multiple activities”.

They combine these expenditure scenarios with three different contribution scenarios, including a scenario in which annual contributions match annual expenditure and another that is equivalent to 2025 expenditure.

These scenarios highlighted that the IPCC trust fund is “likely to be depleted soon without new and larger financial contributions, expenditure cuts, or both,, the ENB says. It continues:

“The message was clear: if contributions do not increase, significant cuts in operations and more efficient meeting formats will need to be implemented. Possible ways forward include reduced activities and the greater use of virtual meetings, which run counter to the needs voiced by many countries for inclusivity, equity and capacity.”

The ENB adds that “the timing of this situation is particularly difficult”, because the IPCC is moving into its “busiest and most difficult part” of the assessment cycle, when the initial draft of reports are being written and reviewed.

According to the ENB, “the pattern of contentious meetings may also increase costs, especially if the panel requires late night sessions or extended days to conclude its work”.

Skea tells Carbon Brief that he is “more confident” about the budget than the “mood music that came out of some of the reporting”. He notes:

“It is really only in the worst-case scenarios where you combine low levels of contributions with high levels of spend that you run into real difficulties during the [AR7] cycle.

“During the first Trump administration, other countries stepped in [with funds] and we are now seeing these signs as well.”

The ENB reports that “Sweden has committed to increasing its contribution by 150% and encouraged all countries to contribute financially or host plenary sessions”.

The IPCC did not publish an updated budget in the documents for the IPCC-64 meeting.

Working group updates

The co-chairs of the three AR7 working group reports (WG1, WG2 and WG3) also presented updates on progress.

All three working group reports highlight the first joint lead author meeting, which was held in Paris in December. The meeting brought together lead authors from all three working groups and saw a total of 650 attendees.

All working groups have also submitted “zero order drafts” – an initial draft text – of their reports to their respective technical support units.

Meanwhile, the World Climate Research Programme and IPCC co-sponsored a workshop on high-impact events and Earth system tipping points in Paris in November 2025.

Separately, the IPCC undertook an expert review of the first order draft of the “special report on climate change and cities” between October and December 2025.

The agenda for the Bangkok meeting also included a range of other items.

IPCC legal officer Jennifer Lew Schneider reported that there are currently 263 organisations with “observer status” to the IPCC, alongside 20 new applications.

IPCC vice-chair Diana Ürge-Vorsatz presented a progress report on an expert meeting on “gender, diversity, equity and Inclusivity”, which was held in September 2025.

The UNFCCC’s Annett Möhner presented a review of collaborations between the IPCC and UNFCCC. In its summary of the meeting, the ENB says:

“She described activities and outcomes from UNFCCC COP30 including decisions on the global mutirão, procedural and logistical elements of the global stocktake process, and the Belém gender action plan, as well as conclusions on research and systematic observation.”

Similarly, Simone Schiele – programme officer at the IPBES secretariat – noted outcomes of the IPBES-12 meeting held in February 2026, as well as ongoing IPBES work.

‘Frustrating and disappointing’

IPCC chair Skea tells Carbon Brief that, overall, the meeting delivered “minimal outcomes”. He says:

“It was a frustrating and disappointing meeting. It was only a business meeting – there was no science involved in it. The lack of progress was a frustration to me, sitting there, chairing it.”

The next meeting – IPCC-65 – will take place in Addis Ababa, Ethiopia, during the second week of October 2026.

During this session, delegates hope to finalise the timeline for the AR7 reports and approve the draft reports of the IPCC’s 61st, 62nd and 63rd sessions.

As such, the ENB notes that “intersessional work” will play an important role in preparing panel members for meetings at IPCC-65. This, it says, includes the “submission of proposals on the AR7 timeline and informal consultations with the chair to identify points of convergence and possible flexibility”.

Skea says the secretariat will be working between sessions “to figure out the process that will move [things] in the right direction”. He continues:

“One of the issues that we have to consider is that there has been, in my view, quite a loss of trust between different groups of countries. We do need to address the trust issue, as well as the technicalities of how the timeline is constructed.”

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Climate Change

New Zealand moves to protect business with law curtailing climate litigation

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New Zealand’s parliament has adopted a controversial new law blocking a whole avenue of climate litigation and shutting down its most advanced corporate lawsuit, which has been blamed by the government for shaking business confidence and investment.

The Climate Change Response (Tort Liability) Amendment Bill, expected to take effect in the coming days after it is formally signed by the Governor-General, prevents all current and future civil claims for climate loss or harm under tort law.

Justice minister Paul Goldsmith said last week that the aim was to give businesses “certainty around their climate change obligations”, noting it would not alter the government’s responsibilities under the Climate Change Response Act 2002 nor business obligations under the Emissions Trading Scheme.

“Our response to climate change is best managed by the Government at a national level and not through piece-meal litigation in the courts,” he added in a statement.

Such litigation, he said, “risks developing a new regime that contradicts the framework Parliament has already enacted” to tackle climate change.

    Goldsmith singled out a key domestic climate lawsuit brought by Northland iwi leader and activist Mike Smith against six big companies: dairy firms Fonterra and Dairy Holdings, energy firms Genesis Energy and Z Energy, New Zealand Steel and coal mining firm BT Mining. A seventh original defendant, Channel Infrastructure, was dropped after it permanently decommissioned its Marsden Point oil refinery.

    Smith argued that these companies had caused him harm under public nuisance and negligence law, as well as a third breach of a duty to cease contributing to climate change that has yet to be tested domestically. He did not seek financial compensation, instead asking for the companies to immediately stop emitting or contributing to net greenhouse gas emissions.

    In one of the most advanced corporate climate accountability lawsuits in the world, a trial had been scheduled for April 2027 after the Supreme Court unanimously allowed the case to continue.

    Corporate lobbying in the shadows

    Smith described the passing of the bill as “deeply concerning”, particularly as it coincided with the Supreme Court hearing another of his climate lawsuits. In that case, Smith v Attorney-General, he argues that the government’s response to climate change and its impacts on Māori communities in particular breaches rights to life and culture.

    “That timing raises profound questions about the separation of powers and the rule of law,” said Smith. “Whatever one’s view of the merits of these cases, it is deeply troubling when parliament intervenes to remove a legal pathway while the courts are actively considering fundamental questions about climate responsibility, rights and the crown’s obligations.”

    The bill – which says that no person (including the government) can be found liable in tort for emissions-related climate change effects – followed major lobbying efforts by the companies defending themselves in Smith’s lawsuit. They outlined a proposed legal amendment in a briefing note to the government in 2024.

    The centre-right government has been fiercely criticised over its lack of transparency in relation to this lobbying activity. The national ombudsman recently found that the Prime Minister’s Office effectively withheld information requested by the Environmental Law Initiative about meetings, discussions and conversations regarding Smith’s case.

    Green groups fail to stop bill

    The bill sparked huge concern among environmental campaigners in New Zealand and elsewhere. Greenpeace Aotearoa called it a “shocking abuse of executive power” and the vast majority of submissions to a parliamentary inquiry said it should be rejected.

    But in the end, it was adopted with little resistance, moving relatively smoothly through parliament, passing its third reading by 67 votes to 53. Sam Bookman, climate law lecturer at Melbourne Law School, told Climate Home News he was not surprised by this, given that the coalition government has a secure majority.

    A complaint has been made to the UN special rapporteur on climate change and human rights by Smith, the National Iwi Chairs Forum Pou Tikanga and youth coalition Climate Clinic Aotearoa over what they see as the government’s heavy-handed approach. Smith is also challenging the new law in yet another lawsuit.

    “Pathetic”: New Zealand plans to barely cut emissions between 2030 and 2035

    Bookman thinks it “very unlikely” that such a challenge will succeed, noting that New Zealand’s constitution is firmly anchored in parliamentary sovereignty.

    But the expert in climate law does not see the bill as the end of legal action in the country, noting that New Zealand has a “sophisticated climate litigation landscape with a growing number of specialist and experienced lawyers and NGOs”.

    The country is also approaching its next general election in November, and some opposition parties have pledged to restore access to the courts if elected.

    Amanda Larsson, global project lead on agriculture for Greenpeace International, said: “This law deserves to be tested, and I strongly encourage the international climate litigation community to unite and help defend New Zealanders’ fundamental right to hold polluters accountable before this becomes a global blueprint.”

    Copycat legislation on the rise

    New Zealand’s move is part of a small but growing legislative effort to shut down climate litigation around the world.

    In the US, Republican politicians introduced legislation in the House and Senate in April that would shield fossil fuel firms from climate liability lawsuits. Similar laws have already been passed at state level in Tennessee, Utah, Iowa and Louisiana.

    The German state of Bavaria has put forward a similar proposal to the Federal Council, aiming to block private climate claims as well as the recognition and enforcement of foreign judgments imposing such liability. There are also proposals to limit available remedies and actions in the Netherlands and Belgium.

    UN General Assembly backs “climate obligations” set by world’s top court

    Bookman said he expects more efforts to counter climate damages litigation and advised plaintiffs to think about how to respond, including drawing on broader support in opposing them.

    “Even though it’s very hard for plaintiffs to win these types of cases, companies are very eager to avoid the expense, embarrassment and political accountability that come even with unsuccessful lawsuits,” he said.

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    Climate Change

    Indonesia’s nickel production cuts are not enough to create a sustainable industry 

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    Bhima Yudhistira Adhinegara is the Executive Director of the Center of Economic and Law Studies (CELIOS), an Indonesia-based economic think tank. Muhammad Zulfikar Rakhmat is the Director of the China-Indonesia desk at CELIOS. 

    Indonesia produces around 60% of the world’s nickel, a metal used to manufacture batteries for electric vehicles (EVs) – more than any other country in the world. But in 2026, the government sharply reduced how much of its nickel can be extracted from the ground.

    Production quotas were reduced by around 40% this year compared to 2025. Weda Bay, the largest nickel mine on Earth, had its allowance cut by more than 70% and exhausted its full-year quota by the end of May, halting mining entirely; it cannot resume large-scale extraction until next year unless regulators grant an extension.

    The policy has sparked a vivid debate in Indonesian policy circles: how can the country shift its strategy from a decade of mining vast quantities of cheap nickel to producing a high-value and low-carbon material that the rest of the world wants for EV batteries.

    The cuts aren’t a silver bullet to clean up Indonesia’s nickel industry, whose smelters are powered by coal – the most polluting fossil fuels. But alongside stricter enforcement of environmental rules, it is one side of efforts to produce more sustainable nickel for a premium.

    Restricting Indonesia’s nickel output

    Production quotas were introduced to stop the collapse of nickel prices because of oversupply in the market. Prices had fallen more than 40% in 2023 alone and kept sliding as Indonesian supply kept growing, hitting a four-year low of around $13,900 a ton in late 2025.

    Critics called the recent tightening of production quotas proof that Indonesia’s nickel strategy has failed, arguing that the industry shouldn’t need to throttle its own output to survive. But when assessed against what the policy was supposed to do – push up nickel prices – it has worked. Prices jumped to $20,000 a ton in May, the highest since 2024.

      Chinese industry groups representing companies that have invested billions to mine and refine the country’s nickel were furious, warning Indonesia’s president Prabowo Subianto that the cuts put $50 billion worth of investment at risk. But much of that Chinese capital is sunk into smelters and processing plants built specifically to run on Indonesian ore, and cannot simply be moved elsewhere. That gives Jakarta more room to hold its ground than the warning suggests.

      Stronger environmental enforcement

      Since the start of the year, Indonesia’s forestry task force has seized more than four million hectares of land from mines and plantations operating illegally in protected forests, collecting over two trillion rupiah ($113 million) in fines.

      This included 148 hectares seized from Weda Bay for lacking a forestry permit. The share of nickel produced from illegal small-scale mining also fell from about a quarter in 2022 to roughly 10% by 2024.

      The crackdown responds to serious environmental damages in the nickel industry. On Obi Island, a waste pond collapsed after heavy rain in June 2025, flooding three villages and killing a resident. Internal company tests found chromium-6 – a carcinogen – in the water, in quantities far above the legal limit. The footprint of another mine near Raja Ampat, which is home to some of the world’s richest coral reefs, grew 60-fold in just eight years.

      A coastal village is wedged between the sea and a large nickel mine in Indonesia
      The fishing villages of Tapunggaya in Sulawesi, Indonesia, are squeezed between the sea and an expanding nickel mine (Photo by Garry Lotulung/NurPhoto)

      The market is responding to early cleanup efforts. Low-carbon nickel now sells for a real premium, roughly $18,800 to $19,300 a ton compared with $17,900 to $18,300 otherwise, as carmakers seek to source cleaner materials to comply with the European Union’s new emissions rules for imports.

      In turn, this is incentivising the industry to do more to green its operations. Vale Indonesia’s smelter in South Sulawesi now runs almost entirely on hydropower, for example.

      None of this addresses coal use, however. Major Indonesian nickel producers still emitted an estimated 15 million metric tons of greenhouse gases in 2023. Indonesia may be cracking down on illegal mining and rewarding cleaner producers but it is still running its mines on the dirtiest fuel available.

      Unequal benefits

      For Indonesia to truly benefit from producing cleaner and high-value nickel, it needs to reap the economic benefits too. Although the industry has boosted the country’s economic growth, the reality on the ground tells a different story.

      Konawe in Southeast Sulawesi is home to a major smelting complex. Growth in the district jumped from 6% to 22% between 2015 and 2023, driven almost entirely by the nickel industry, according to a study by the Lowy Institute study. At the same time, poverty levels increased slightly and unemployment remained unchanged.

        In Halmahera, another epicentre of the nickel industry, spending by the poorest fifth grew just 5% between 2019 and 2022, compared with 28% for the wealthiest fifth, according to a separate study.

        Part of the reason for this inequality is the system for transferring mining royalties to district authorities where the mines are located. In theory, they are entitled to the largest share. But in practice, payments are delayed, companies routinely dispute what they owe and royalties are pooled and distributed across a larger area.

        The Natural Resource Governance Institute has found that decentralisation handed local governments power to approve new mines faster than they could build their capacity to manage them. Higher output raises national income on paper, but local governments remain constrained by fiscal rules and infrastructure costs that scale with mining.

        None of this makes the 2026 quota cuts a mistake. Indonesia has every right to defend its pricing power over a resource it controls. But limiting extraction isn’t going to fix underlying issues around environmental enforcement and revenue-sharing. That requires rules that are consistently enforced, royalties that reach communities living by the mines, and a plan to wean smelters off coal.

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        Risk of “catastrophic” oil spill reaching Kimberley coast found in Woodside’s Scott Reef gas drilling plans

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        SYDNEY, Monday 24 August 2026 – New analysis of Woodside modelling released by Greenpeace Australia Pacific and Environs Kimberley has revealed the oil and gas corporation’s plans to drill at Scott Reef could cause an oil spill up to 30 times bigger than the 2009 Montara disaster, impacting the Kimberley coastline and reaching as far as Indonesia.

        The new analysis details the “catastrophic” oil spill risk put to environmental regulators for approval by Woodside in its Browse to North West Shelf Project (Browse) plans, the worst-case scenario being a blowout directly below Scott Reef, polluting whale migratory pathways and covering isolated turtle nesting ground with oil condensate.

        An FOI application (F348) revealed the federal environment department (DCCEEW) asked offshore oil and gas regulator NOPSEMA to look into the oil spill risk in 2025. NOPSEMA’s response to the application refused access to its report, and one document shows DCCEEW sought further advice this year.

        Greenpeace and Environs Kimberley are calling on the Federal Government to publicly release the NOPSEMA report given the risk of an uncontrolled release of oil condensate from directly below Scott Reef.

        Hannah Schuch, Senior Campaigner at Greenpeace Australia Pacific, said: “Woodside is aware that drilling at Scott Reef risks a massive oil spill that would have severe, far-reaching consequences. It appears environmental regulators are aware too.

        “The state and federal governments need to take this risk from Woodside’s drilling plans seriously, as they could end up allowing the worst oil spill in Australian history.

        “The pygmy blue whales that migrate up and down the WA coast with their newborns each year could be swimming and feeding in toxic, oil-slicked water. Woodside’s proposal to drill at Scott Reef is an environmental disaster waiting to happen, and the WA and federal governments have one surefire way to prevent catastrophe — reject Browse.”

        Martin Prichard, Executive Director at Environs Kimberley, said: “A catastrophic oil spill by Woodside would be disastrous not just for marine life in the area but also for the Kimberley’s $500 million tourism industry.

        “The state and federal governments will see five marine parks on the Kimberley coast included in the risk area of a catastrophic Woodside oil spill.

        “The Montara oil spill was disastrous for West Timor with the toxic oil destroying seaweed farmers’ livelihoods. The Kimberley dodged a bullet with Montara, we were lucky the spill didn’t head our way. Myself and a crew flew over the Montara oil spill and followed it as far as we could. It was like a scene from a disaster movie.”

        After the WA Environmental Protection Authority deemed Browse “unacceptable” due, in part, to oil spill risk, Woodside submitted a mitigation plan based on technology that has never been used “in anger”, a weakness stated in an independent expert review of the plan.

        Professor Richard Steiner, independent oil spill expert, said: “A large offshore spill is impossible to effectively contain or recover. Historically, only 2-6% of total spill volume is recovered and the ecological injury from the release of toxic hydrocarbons in the sea can be severe, extensive, and long-term.

        “Here in Alaska, government research concludes that several marine populations injured by the 1989 Exxon Valdez oil spill, including whales, fish, and seabirds, are still not recovering today, 37 years later. We should expect similar long-term ecological impacts in Western Australia if there were to be a major oil spill. The only sure way to avoid the risk of a catastrophic marine oil spill is to not develop oil and gas projects in marine environments.”

        -ENDS-

        Media contact

        Emma Sangalli on emma.sangalli@greenpeace.org or 0431 513 465

        Risk of “catastrophic” oil spill reaching Kimberley coast found in Woodside’s Scott Reef gas drilling plans

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