Ministry Of Energy And Mineral Resources Calls The Government Godok Perpres For CCUS Development In The Indusri Sector

JAKARTA - The government through the Ministry of Energy and Mineral Resources is preparing a draft presidential regulation (Perpres) to develop Carbon Capture and Storage/Carbon Capture, Utilization and Storage (CCS/CCUS) in various sectors.

"The Ministry of Energy and Mineral Resources in collaboration with the relevant Ministries is currently drafting our first regulation (Presidential Regulation) for CCS outside the oil and gas working area to support emission reduction from other industries," said Bumi Oil and Gas Engineering and Environment Director Mirza Mahendra, quoted Monday, August 28.

Mirza explained that currently the development of the CCS/CCUS project in the field of oil and gas is currently still in the study stage.

Around 15 CCS/CCUS projects from Aceh to Papua are still in the study or preparation stage, but most of them are targeted onstream before 2030, with a total potential for CO2 injection between 2030 and 2035 ranging from 25 to 68 million tons.

Some of these CCS/CCUS projects, he said, have been included in the scope of the Regulation of the Minister of Energy and Mineral Resources Number 2 of 2023 concerning the Implementation of Carbon Arrest and Storage, as well as the Arrest, Utilization, and Storage of Carbon at Upstream Oil and Gas Business Activities that regulate CCS/CCUS management provisions including technical and technological aspects as part of the oil and gas business model in Indonesia.

With the great potential of storing CO2, Mirza believes Indonesia can open up opportunities to implement CCS outside the oil and gas work area and gas fields containing CO2.

His party is also considering implementing cross-border CCS to support international CO2 storage requests.

"We are also considering the implementation of limited CCS to support demand for CO2 storage in other countries," Mirza continued.

Still said Mirza, there are at least three main points that underlie the need for this Presidential Regulation.

First, a legal basis is needed to support the development of CCS which is safe and effective and provides legal certainty for investors.

Second, to accommodate the implementation of integrated CCS activities from all sectors and cross-border transportation CO2.

Third, the use of Indonesia's geological deposit potential as a CCS Hub.

Mirza added that several material points included in the agenda of the draft Presidential Regulation, among others, were the first related to the offer of the CO2 Injection Carbon Working Area.

Both Exploration Permits to study, explore, map and test permanent geological deposits. Third, the Operation & Storage permit to allow operators to inject CO2 in safe storage areas, and all four CCS methodologies and requirements for measurable, secure and permanent storage.

"I hope this regulation will run next month, in our design, the regulations will consist of requests for CO2 storage in work areas, exploration permits, storage permits and CCS methodology," Mirza concluded.