PHE Gets Multinational Institutions To Develop Carbon Storage And Arrest In Indonesia

Cooperation (Photo: dock. Unsplash)

PT Pertamina Hulu Energi (PHE) cooperates with multinational institutions for the development of Carbon Capture and Storage (CCS) or carbon storage and capture in Indonesia.

This collaboration aims to improve PHE's technical expertise in line with global best practices and the development of sustainable business models for carbon storage.

"When the world turns to cleaner energy, Indonesia must find its own way towards a sustainable future. We see CCS as part of the main solution," said PHE Finance and Investment Director Dannif Utojo Danusaputro quoting Antara.

Through this collaboration, we can take advantage of global expertise to develop solutions that match Indonesia's energy landscape. This partnership is an important step in encouraging the CCS project that can be implemented effectively in Indonesia," Dannif added.

Through this collaboration, said Dannif again, PHE will get technical assistance and share knowledge about the best global practices, business model development, and framework rules.

In addition, PHE can also gain insight into the implementation of effective CCS technology, financing mechanisms, and environmental security, which can be the foundation for the sustainability of the CCS industry in Indonesia.

According to Dannif, CCS has proven to be able to reduce industrial emissions by capturing carbon dioxide produced from the industrial sector before reaching the atmosphere and storing it safely.

The method is critical to industries facing the challenge of completely switching to renewable energy sources.

Although Indonesia has great geological potential for carbon storage and large-scale CCS development, this requires strong policy support, technical expertise, and significant investment.

As part of this initiative, said Dannif, PHE positions itself as a key player in the CCS value chain, offering CO2 storage and transportation solutions to the domestic and international emissions-producing industries.

This is in line with Indonesia's broader strategy to decarbonize its energy and industrial sectors while ensuring long-term business sustainability.

PHE will develop a CCS business model that is integrated with long-term transportation, injection, and monitoring of CO2, by utilizing its expertise in upstream oil and gas operations and geological storage.

In addition, PHE sees an opportunity to expand its business portfolio by providing CO2 storage and transportation services, supporting emissions-producing industries in meeting their decarbonization goals.

To avoid the worst impact of climate change and prevent extreme critical points, the United Nations Framework Convention on Climate Change (UNFCCC) estimates that global carbon emissions should be reduced by 43 percent by 2030.

"By accelerating the implementation of CCS, this collaboration will not only help Indonesia fulfill its climate commitments, but also encourage sustainable economic growth in the long term," he said again.