The Ministry of Investment/BKPM is backing the development of carbon capture and storage (CCS) services in Indonesia by preparing the necessary licensing framework. Deputy for Investment Promotion Nurul Ichwan stated that the ministry’s primary role is to facilitate licensing once areas are designated by the Ministry of Energy and Mineral Resources (ESDM). These designated zones will be auctioned and developed with permits processed through the Online Single Submission (OSS) system under the Ministry of Investment. “We support this initiative mainly through licensing,” Ichwan said in Jakarta on Tuesday.
Indonesia is seen to have competitive advantages in carbon storage capacity, offering significant potential to export CCS services globally. Deputy Minister for National Development Planning Febrian Alphyanto Ruddyard emphasized the need for a strong ecosystem and attractive regulations to encourage private sector investment in CCS technology. This initiative aligns with Indonesia’s broader commitment to low-carbon development and achieving Net Zero Emission (NZE) targets over the next 20 years. Collaboration with the European Union is also expected to strengthen national regulations and drive more interest from international investors in the CCS sector.
