Minister Of Energy And Mineral Resources: Indonesian Fossil Fuel Can End In 15 Years

Minister of Energy and Mineral Resources Arifin Tasrif was a speaker at the DIEs Natalis UNP in Padang City, Tuesday. (ANTARA/HO UNP)

PADANG - Minister of Mineral Resources (ESDM) Arifin Tasrif said Indonesia's energy reserves from fossils could run out in the next 15 years if consumption was like today. "If it's like this, our fossil fuel reserves could run out in 15 years if there are no efforts to add new oil wells," he explained during the 68th Anniversary of Dies Natalis UNP in Padang, West Sumatra, Antara, Tuesday, October 18. According to him, Indonesia must escape from its dependence on fossil fuels. In 2060 Indonesia is estimated to import 4.2 million barrels of oil per day. "When compared to the current price of oil, of course, the value is very large," he said. Currently, oil wells in Indonesia are only able to produce 700 thousand barrels per day and at the peak level it can be 1.2 million barrels per day. This condition indicates that existing oil wells are getting old and old. Meanwhile, the consumption of fuel oil alone, in Indonesia there are 120 million motorcycles and if in a day they spend three-quarters of a liter, oil consumption reaches 700 thousand barrels per day and that is not yet for four-wheeled vehicles. The solution is of course imports to meet domestic needs. At a time when COVID-19, world oil prices fell to US$20 per barrel, but during the crisis, Russia and Ukraine skyrocketed to US$120 per barrel. "This has had a major economic impact and has caused inflation in several countries, even 28 countries are currently IMF patients," he said. According to him, there are several alternatives that have been taken, starting from the search for new wells, and making breakthroughs in conversion from fossil fuels to other clean and renewable energy. "In the past, Indonesia was a producer of oil and now imports oil and this is certainly our challenge going forward," he said. He said that oil and gas reserves would still exist, previously those on land had shifted to deep sea areas and even reached a depth of 4,000 meters under the sea. In the past, many wells in western Indonesia and now shift to eastern Indonesia. "We are trying to explore new potential sources by conducting a wide geo survey and finding five potential new oil wells and are currently entering the auction stage," he said. In addition, his party has collaborated with companies in the field of drilling that do have an advantage in terms of technology. "We will drill the new well in the near future," he said. He said he had to invite investors who had qualified technology and financial resources so that new oil wells emerged. "The government is currently preparing an offer package inviting more attractive investments. In the past, we were the biggest producers, but now it has changed and we have to let ourselves go as a country that uses fossil fuels," he said.