The Indonesian Carbon Arrest Program Needs Financing Of 15 Billion US Dollars

Coordinating Minister for the Economy Airlangga Hartarto (Photo: Antara)

JAKARTA - Coordinating Minister for Economic Affairs Airlangga Hartarto revealed, Indonesia needs financing of 15 billion US dollars to develop carbon capture and storage (CCS) and carbon capture, utilization, and storage (CCUS) projects.

According to Airlangga, the government is collaborating with foreign oil and gas companies to participate in this program as investors.

"Several oil and gas companies, including Japan, England, BP, Exxon Mobil, are also encouraging the Carbon Capture and Carbon Utilization CCUS program where this program is estimated to require financing of 15 billion dollars," said Airlangga, Thursday, November 20.

Airlangga said, this program will make Indonesia the country with the largest carbon supply potential in Asia. Indonesia's potential is known to be 600 gigatons (GT).

According to him, this could be a potential to attract various countries such as Japan, Korea and Australia.

The development of the CCS/CCUS project, Airlangg continued, will also develop other business potentials. He gave an example of investment from the British oil and gas company BP, which will also develop an enhanced gas recovery (EOR) that can increase domestic oil and gas production.

"So this is the new opportunity and in several locations including the BP it can also cover the enhanced gas recovery so of course with this carbon capture gas production will be lifted," said Airlangga.