Indonesia is poised to emerge as a major player in the carbon capture storage (CCS) business, according to Jodi Mahardi, Deputy for Maritime Sovereignty and Energy Coordination at the Coordinating Ministry for Maritime Affairs and Investment. The Ministry of Energy and Mineral Resources (ESDM) has identified 15 projects in Indonesia focusing on CO2 carbon storage technology, primarily in the oil and gas sector. These projects, with a total capacity of 4.31 Giga Tons CO2, are in various stages of study and preparation, with some targeting operation before 2023.
Indonesia's collaboration with Singapore for CCS Cross Border and ongoing discussions with other East Asian countries position it as a key player. Global investments in CCS have reached approximately USD 6.4 billion, with Asia contributing USD 1.2 billion. ExxonMobil has signed a USD 15 billion MOU for a petrochemical project combined with CCS, BP is constructing CCS/CCUS facilities in Tangguh, Indonesia, and Pertamina is planning a comprehensive CCS investment. Jodi envisions Indonesia as a potential leader in the CCS field in Southeast Asia, emphasizing its vast storage capacity potential of 600 Giga Tons, making it a strategic hub. Furthermore, Jodi highlights three key factors contributing to Indonesia's potential prominence in CCS development. First, its significant storage capacity potential; second, its strategic location, allowing collaboration with Southeast Asian and East Asian nations; and third, integrated downstream industry development with CCS to produce low-emission products like blue ammonia, blue methanol, and blue hydrogen. This initiative aligns with the nation's vision to address emissions from hard-to-abate industries and foster environmentally friendly product production, creating new opportunities across the CCS value chain.
