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JAKARTA - Coordinating Minister for Maritime Affairs and Investment (Menko Marves) Luhut Binsar Pandjaitan said Indonesia is ready to become a major part of investment in global carbon capture and storage (CCS) technology.

Luhut said that the potential for carbon storage in Indonesia is currently estimated at 400 giga tonnes, thus presenting significant business and investment opportunities for the country.

"Recent global investment in CCS has reached 6.4 billion US dollars and Asia contributed 1.2 billion US dollars. Indonesia is ready to be a major part of this technology investment," he said in a statement in Jakarta, quoted by Antara, Monday, September 11.

Luhut said that Indonesia has great potential and opportunities in permanently storing carbon emissions through CCS technology.

"ASEAN countries with growing economies and growing populations play an important role in the global carbon footprint. As the region continues to experience significant industrial growth and energy needs, addressing emissions is becoming a priority. Carbon capture and storage represents a promising technology that has already been implemented in global countries," he said.

Luhut explained that in early 2023, the ICCS Center announced its vision regarding the development of CCS potential in Indonesia.

The CCS sector is growing rapidly, offering investors the opportunity to be at the forefront of a revolutionary industry that promises long-term financial returns while fulfilling the responsibility of zero emissions as an investment license for global industry.

Furthermore, Luhut added that the development of a CCS center in Indonesia has enormous potential because this region has the necessary resources from CO2 storage sites and adjacent industrial sites, including partners from East Asian industry for international carbon transport.

"The implementation of a regional carbon tax also provides an economic boost to this project. Existing oil and gas facilities from Aceh, North Java, Kalimantan, and recent developments in Papua are technically feasible for CCS operations. By encouraging collaboration and knowledge sharing, we can take advantage CCS's full potential to realize a sustainable future in Southeast Asia," he said.

For this reason, Luhut said that the International & Indonesia CCS Forum 2023 is expected to be able to discuss Indonesia's successes further, as well as being a side event to the ASEAN Summit.

"We are confident that our collective efforts to define the regulatory framework can provide a clear message, Indonesia will be a pioneer in implementing CCS in the following years," he said.


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