Indonesia Strengthens ASEAN Carbon Storage Hub Status

The Ministry of Energy and Mineral Resources (MEMR) is exploring the opportunity to store carbon from overseas in Indonesia through the cross-border carbon liabilities plan in the draft Presidential Regulation regarding CCS outside of oil and gas working areas.

Ibeth Nurbaiti

12 Sep 2023 - 18.35
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Indonesia Strengthens ASEAN Carbon Storage Hub Status

Illustration - Carbon emission in industrial complex.

Bisnis, JAKARTA — The use of carbon capture and storage/carbon capture, utilization, and storage (CCS/CCUS) technology is believed to be a necessity in the future, in line with the government's target to achieve net-zero carbon emissions (NZE) by 2060.

The implementation of CCS/CCUS is limited to the upstream oil and gas industry and industries outside the oil and gas working areas.

To this end, Cooperation Contract Contractors (KKKS) will also be allowed to use captured carbon from other industries for CCS/CCUS facilities to reintroduce it into the gas field they manage.

However, the commercialization potential of CCS/CCUS is currently being finalized by the government to convince contractors to invest in complex carbon capture infrastructure, even though the commercialization instruments for carbon capture are expected to stimulate studies currently being conducted by the contractors.

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© Copyright 2024, Hak Cipta Dilindungi Undang - Undang.