Pupuk Indonesia Boss Reveals The Challenge Of Energy Downstreaming In Indonesia

President Director of PT Pupuk Indonesia (Persero) Rahmad Pribadi. (Photo: Mery Handayani/VOI)

JAKARTA - President Director of PT Pupuk Indonesia (Persero), Rahmad Pribadi opened his voice regarding the challenges faced by the fertilizer industry in the energy transition in Indonesia.

He admitted, actually in the energy transition, his party did face challenges but he also saw a great opportunity.

Rahmat said, in producing natural gas or urea-based fertilizer, his party produces ammonia which is an energy source that does not contain carbon or fuel transitions

"The challenge is not in the market. The market is very large. The next question is at the source, the raw materials. We have a market that is increasing quite large, but do we have raw materials? Well, the raw materials are now natural gas," he said. dal Detik Leaders Forum, Tuesday, September 17th.

Rahmat said that natural gas as the raw material for making fertilizers is non renewable energy so that the fertilizer industry ensures gas supply guarantees because it plays an important role in Indonesia's food security.

"Of course we don't remain silent. We are innovating, changing the use of natural gas as a main feed stock, we will try the virus using renewable resources based. So today's biggest challenge lies in the certainty of supply of raw materials for the country," he explained.

Rahmat is optimistic that the gas supply is still available because SKK Migas together with oil and gas contractors continue to find new gas sources found in several regions in Indonesia.

"Only this is called the upstream 3,000 sector which is quite long. Well, hopefully the speed between discovery and production can close our current needs. Well, that's what we hope for," continued Rahmat.

For this reason, he ensured, his party continues to cooperate with the government to ensure the availability of gas supply for the domestic fertilizer industry.