JAKARTA - President Joko Widodo (Jokowi) has signed a regulation regarding the capture and storage of carbon capture and storage (CCS) as stated in Presidential Decree number 14 of 2024.

The regulation allows other countries to store their carbon in Indonesia and regulate the allowed carbon capacity.

Article 35 states that carbon storage capacity is prioritized for domestic carbon producers.

"Contractors and holders of storage operation permits that organize CCS are required to allocate 70 percent of the total carbon storage capacity to be backuped as domestic carbon storage," wrote the official regulation quoted on Wednesday, January 31.

However, the regulation also stipulates the amount allowed for carbon originating from foreign countries. Contractors and holders of storage operations permits that organize CCS can allocate 30 percent of the total carbon storage capacity to be used as a store of carbon originating from abroad.

The regulation also emphasizes that carbon storage originating from abroad can only be done by carbon producers who invest at affiliated with investment in Indonesia. This means that only companies that already have a cooperation contract can store their carbon in Indonesia.

In the regulation signed on January 30, it also regulates the transportation mechanism or transportation of cross-border carbon or cross-border transportation of carbon.

Article 45 of the regulation states that in order to facilitate the transportation of cross-border CCS implementation, bilateral cooperation agreements are carried out between countries.

"Cooperation agreements are a guideline for all parties to issue recommendations or permits needed in the context of transportation of carbon across countries in accordance with the provisions of laws and regulations that apply in their respective countries," wrote the Presidential Decree.

Then in article 47 it is stated, for carbon transported into the Indonesian customs area, it must be registered by importers once at the first time importing in accordance with the provisions of the legislation.


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