JAKARTA, Nov 17, 2022 – (ACN Newswire) – The energy transition process must take place in order to maintain sustainability, chair of the Energy, Sustainability, and Climate Business 20 (TF ESC-B20) Task Force, Nicke Widyawati, has said.

During a "BloombergNEF (BNEF) Net Zero Summit" discussion initiated by the Coordinating Ministry for Maritime Affairs and Investment and the Asia Natural Gas and Energy Association (ANGEA), Widyawati, who is also the CEO and president director of state-owned energy company Pertamina, said that the energy transition process is a part of B20 activities.

During the discussion, she emphasized that the energy transition cannot be achieved in a short time.

"The process requires various kinds of technology, costs, and human resources that can reach the standards of renewable energy," she explained.

When the energy transition process occurs, the demand for energy will also increase, she pointed out. Thus, energy security on a large scale will need to be maintained.

Widyawati then described several strategies carried out by Pertamina to overcome the challenges faced in balancing efforts to realize the energy transition for sustainability, including net zero emissions, with measures to maintain energy security.

"To achieve net zero emission (NZE) aspirations while maintaining energy security in Indonesia, Pertamina has developed some comprehensive strategies that are delivered through two main pillars and three medium-term strategies," she informed.

The two main pillars are focusing on decarbonizing business activities and assets and developing new renewable green energy businesses.

Meanwhile, the first of the three medium-term strategies carried out by Pertamina to support NZE realization involves developing its carbon accounting standards to meet national and international standards.

The second strategy involves stakeholder engagement to fully support the achievement of national NZE targets, which will be supported by the company's long-term investments.

The third strategy involves the company's environmentally friendly sustainability business initiatives that will focus on biofuels, renewable energy sources, carbon capture storage (CCS/CCUS), batteries and electric cars, hydrogen, as well as self-sustaining carbon businesses.

Moreover, Pertamina has also developed a strategy to support the energy transition by allocating its capital expenditure (capex) for low emission energy and developing new renewable energy (NRE).

"We have set a goal to increase the green business portion in Pertamina's revenue, which is from 5 percent in 2022 to 13 percent by 2030," Widyawati said while providing details on the company's share of capital costs for green energy.

The company has also predicted that its fossil fuel revenues will decline significantly from 86 percent in 2022 to 66 percent by 2040.

Furthermore, she highlighted that the goal of optimizing the capital allocation for green businesses has been coordinated by Pertamina with the government to ensure that the measures taken align with the national energy mix target for new renewable energy.

To balance financing, Pertamina has also made a long-term investment strategy, which has included the allocation of 14 percent of its capex for green energy business activities.

In addition, the company will continue to invest in fossil fuels and petrochemicals as the backbone of its current business in an effort to ensure that the energy transition process does not disrupt energy security.

Apart from the capital investment strategy, Pertamina is also collaborating with various parties to accelerate the achievement of green energy targets.

Contact: Heppy Wulansari, Pjs. Vice President Corporate Communication, PT Pertamina (Persero)
Mobile: +62 811-296-949, Email: heppy@pertamina.com, URL: https://www.pertamina.com
Written by: Yuni Arisandy Sinaga, Editor: Sri Haryati (c) ANTARA 2022

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JAKARTA, Nov 16, 2022 – (ACN Newswire) – PT Pertamina Geothermal Energy (PGE) expressed readiness to increase the geothermal power plant (GPP) capacity in South Sumatra in a bid to support the realization of net zero emission (NZE) in Indonesia.

This step to increase the GPP capacity is taken through the inking of an agreement for Engineering, Procurement, Construction, and Commissioning (EPCC) for the construction of the Fluid Collection and Reinjection System (FCRS) and Geothermal Power Plant at the Lumut Balai Unit 2 in South Sumatra.

The agreement signing was conducted by PGE with Mitsubishi Corporation Consortium, PT Wijaya Karya, and SEPCO III Electric Power Construction Co. Ltd on the sidelines of the B20 Indonesia Net Zero Summit 2022 event held in Bali on Friday (November 11).

The project for the construction of FCRS and geothermal power plant in South Sumatra is funded by Japanese Official Development Assistance (ODA) Loans under the Government to Government (G-to-G) Loan scheme with the Government of Indonesia.

The project site is located in the districts of Muara Enim and Ogan Komering Ulu in South Sumatra Province.

The contractual scope of the project will be a turn-key basis on which PGE partners will carry out the design, manufacturing, civil works construction, commissioning, performance testing and warranty for the facility that consists of a Geothermal Power Unit and an FCRS, with a net capacity at high-voltage terminals of 55 Megawatts (MW).

The geothermal facility is designed to be operational for more than three decades and will be operated and maintained by PGE.

The electricity generated from the clean, renewable and environmentally friendly energy facility will be channeled through the installations of the state-owned electricity company PLN, so that it has the potential to increase the number of new residents receiving electricity to reach around 55 thousand households in South Sumatra.

Moreover, the working area at the Lumut Balai GPP Unit has proven to have good-quality environmental management with the achievement of Pertamina Environment Regulation Compliance Assurance (PERCA) and the Blue category for Company Performance Rating Program in Environmental Management (PROPER) from the Ministry of Environment and Forestry.

In accordance with the theme of the 2022 Indonesia Net Zero Summit "Industrial Decarbonization at All Cost," the effort to increase GPP capacity is one of Pertamina's concrete measures in supporting sustainable development proclaimed by the Indonesian government.

The effort was also aimed at mitigating the impacts of global warming by reducing carbon emissions in the environment.

Greenhouse gas reductions from the GPP Project at Lumut Balai Unit 1 and 2 are included in the Clean Development Mechanism (CDM) as an implementation of the Kyoto Protocol. It has also been registered with the UNFCCC, with the potential for reducing greenhouse gas emissions of around 581,518 tons of CO2 equivalent per year.

GPP capacity of 55 MW, which will be generated from Unit 2 of the GPP in the province, will increase PGE's total installed GPP capacity, after earlier some 55 MW generated from the Lumut Balai Unit 1 Project that became operational in 2019.

The new unit will further strengthen PGE's position as one of the largest players in Indonesia's geothermal development, with a total installed capacity of 727 MW.

PGE's President Director Ahmad Yuniarto explained that in carrying out its business, PGE remains committed to the development of geothermal energy and ensures that the implementation of the Environment, Social and Governance (ESG) aspects is an integrated part of the company's geothermal energy business line.

The implementation of the ESG aspects is the company's effort to provide added value and to support the national programs related to the use of environmentally-friendly new and renewable energy, especially geothermal energy, he remarked.

PGE's commitment in developing geothermal energy can contribute to achieving several targets in sustainable development goals (SDGs): Goal No.7 on clean and affordable energy, Goal No.12 on responsible construction and production, Goal No.13 on handling climate change, and Goal No.15 on land ecosystems.

PGE currently manages 13 Geothermal Working Areas, with an installed capacity of +1.8 Gigawatts (GW).

A total of 672 MW of geothermal capacity is operated and managed directly by PGE, and some 1,205 MW is managed under the Joint Operation Contract scenario.

Geothermal energy capacity from power plants in PGE's working areas contributes 82 percent of the total geothermal energy capacity produced in Indonesia and has the potential to contribute to the reduction of carbon dioxide emissions of around 9.7 million tons of CO2 per year.

Contact: Muhammmad Baron, Corporate Secretary, PT Pertamina Geothermal Energy
Mobile: +62 8 1117 1720, Email: muhammad.baron@pertamina.com, URL: https://www.pertamina.com
Written by: Yuni Arisandy Sinaga, Editor: Fardah Assegaf (c) ANTARA 2022

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

JAKARTA, Nov 15, 2022 – (ACN Newswire) – State-owned energy company PT Pertamina committed to support the Indonesian government to achieve net zero emissions (NZE) by 2060 through the decarbonization initiatives program currently implemented by the company.

Senior vice president of strategy and investment at Pertamina Daniel S Purba conveyed this information during an ASEAN Panel Discussion on the sidelines of COP27 in Sharm el-Sheikh, Egypt on Friday (November 11, 2022).

At the discussion, Purba delivered a presentation on "Decarbonizing the ASEAN Way – Harnessing the Collective Actions of ASEAN Private Sectors Driving Net-Zero: Pertamina's Overarching Plan in Decarbonization".

He explained that Pertamina as a state-owned energy company has the responsibility to provide energy needs in Indonesia – a country with a population of nearly 300 million people with high energy demand.

"At the same time, Indonesia has a strong commitment to achieve net zero emissions by 2060, and Pertamina as a state-owned company fully supports this commitment," Purba said.

"Pertamina has now developed a clear program for efforts to achieve the target of net zero emissions by 2060, even more … if possible, we want to reach the target faster by 2050," he added.

He further added that Pertamina views the energy transition effort as a good opportunity to build a green business.

Such a view, according to him, is part of the main mission to ensure the company remains sustainable and grows in line with efforts to fulfill the commitment to achieving net zero emissions through a detailed decarbonization program in accordance with the company's well-prepared NZE roadmap.

"Pertamina has prepared a decarbonization plan especially for its existing businesses, for instance by reducing gas flaring, using renewable energy in all of our activities both upstream, production sites, shipping transportation and even batteries," Purba pointed out.

In addition, regarding the implementation of Environmental Social and Governance (ESG) aspects, Pertamina is currently at the medium risk level and at the second place for the category of the best ESG score in the oil and gas industry, based on Sustainalytics – an ESG rating agency that has conducted assessment towards the company.

Meanwhile, stakeholders, investors, rating agencies and insurance companies are also interested in finding out and learning about how Pertamina – as an oil and gas company – manages ESG aspects in its efforts to produce sustainable energy.

At the ASEAN Panel Discussion of the COP 27, Purba said that a number of ASEAN countries actually have considerable energy resource potential, such as to produce LNG and gas.

He mentioned ASEAN countries that have such a potential including Indonesia, Malaysia, Thailand and Brunei Darussalam.

He also revealed that the low carbon energy transition is a very good practice to be implemented by ASEAN countries in order to reduce the carbon footprint in the region.

Furthermore, still on the effort of reducing carbon footprint, Purba highlighted that Indonesia owns many forests that have the potential to be utilized in the aspect of nature based solutions.

"Therefore, collaboration (among ASEAN countries) can be a brilliant idea because each country has a different position and potential so we hope that the collaboration can establish a carbon market in the ASEAN region," he stated.

"However, this certainly requires concrete steps from all parties so that we can really collaborate together to achieve the net zero emission target," he concluded.

Contact: Brahmantya Satyamurti Poerwadi, Corporate Secretary, PT Pertamina (Persero)
Email: pcc135@pertamina.com, URL: https://www.pertamina.com
Written by: Yuni Arisandy Sinaga, Editor: Fardah Assegaf (c) ANTARA 2022

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

JAKARTA, Nov 15, 2022 – (ACN Newswire) – Pertamina and ExxonMobil have signed a cooperation agreement for developing carbon capture and storage (CCS) for cutting carbon emissions while supporting economic growth.

"This collective agreement is a solid foundation for Indonesia to achieve Indonesia's net-zero target by 2060 or sooner," Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan said on Monday.

The Indonesian government is working on developing regulations that support carbon capture and storage (CCS) and starting discussions with governments in other regions, he added.

Meanwhile, Pertamina's CEO and president director, Nicke Widyawati, said that the CCS development and decarbonization cooperation is in line with Pertamina's efforts to support the government's program to accelerate the energy transition and achieve the target of reducing emissions by 29 percent by 2030.

"The development of CCS technology is in line with Pertamina's commitment to implementing Environmental, Social, and Governance (ESG) in all lines of the company's business to encourage business sustainability in the future," she added.

The fastest way to ensure the transition to new renewable energy and decarbonization in Indonesia is through partnerships, she emphasized. This is to answer the three global challenges, namely technology, finance, and human capital, at once.

According to Widyawati, the application of CCS technology is expected to play an important role in reducing greenhouse gases in the atmosphere, which contribute to global warming, climate change, ocean acidification, and loss of biodiversity.

"The development of CCS technology has a double impact, in addition to reducing emissions while increasing national oil and gas production," she said.

A joint study conducted by Pertamina and ExxonMobil has succeeded in finding the potential for carbon dioxide (CO2) storage of up to 1 billion tons in Pertamina's oil and gas fields.

This large CO2 capacity can permanently store CO2 emissions across Indonesia at the current average for the next 16 years.

In total, Pertamina is working on six CCS/CCUS projects by selecting fields that can be used as CO2 injection sites.

The six potential sites are located in several offshore areas in Sumatra, Java, Kalimantan, and Sulawesi.

The discovery of the great potential of CO2 has become an opportunity for the development of the CCS business and decarbonization efforts in Indonesia.

Contact: Heppy Wulansari, Pjs. Vice President Corporate Communication, PT Pertamina (Persero)
Mobile: +62 811-296-949, Email: heppy@pertamina.com, URL: https://www.pertamina.com
Written by: Katriana, Editor: Fardah Assegaf (c) ANTARA 2022

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

JAKARTA, Nov 14, 2022 – (ACN Newswire) – The UN Climate Change Conference (COP27) 2022 can inspire the global community and all parties to increase contribution to tackling climate change, according to Senior Vice President of Strategy and Investment of Pertamina Daniel Purba.

"Sometimes when we work only focusing on our own sector, we never think about a global point of view. So I'm sure this COP27 will inspire and encourage everyone to think globally in order to accelerate contributions in dealing with climate change through industries that we each work on," Purba said during a discussion organized on the sidelines of COP27, at the Indonesian Pavilion in Sharm el-Sheikh, Egypt on Friday (November 11) .

Reducing carbon emissions is one of the ways to tackle climate change, Purba added.

Through the COP27 event, he continued, all nations around the world are reminded that there is still a lot of work to do to save planet Earth from the impacts of climate change, and it is not only for the benefit of future generations, but also for the sustainability of the business environment.

"I hope that after the implementation of COP27, everyone will realize that they have to play a role in saving the Earth. And that effort is not just a jargon, but must become a reality, our mindset and lifestyle that encourage us to save our planet," Purba said.

As a concrete step to tackle climate change, Indonesia is committed to achieving net zero emissions (NZE) by 2060, and Pertamina is supporting the realization of that commitment by decarbonizing its existing businesses and developing green businesses.

"Currently Indonesia has committed to achieving net zero emissions by 2060 so that Pertamina, as a state-owned company, supports this commitment and we have also prepared various work programs to achieve this national (NZE) target," he pointed out.

The decarbonization measures taken by the company include encouraging energy efficiency, zero-flare oil and gas activities, as well as carbon capture and utilization.

Apart from that, Pertamina has also developed a number of green business initiatives, including those related to biofuels, renewable energy, batteries and electric vehicles, hydrogen as well as carbon businesses.

"Of course, we also view the energy transition period as a very good opportunity for us to build some green businesses," Purba said.

In addition, Pertamina is also committed to allocating 14 percent of the projected capital expenditure for the 2022-2060 period, which is worth US$70-80 billion, for the development of clean, new and renewable energy.

Contact: Brahmantya Satyamurti Poerwadi, Corporate Secretary, PT Pertamina (Persero)
Email: pcc135@pertamina.com, URL: https://www.pertamina.com
Written by: Yuni Arisandy Sinaga, Editor: Fardah Assegaf (c) ANTARA 2022

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

JAKARTA, Nov 14, 2022 – (ACN Newswire) – The Energy, Sustainability, and Climate Business 20 Task Force (TF ESC-B20) has successfully created the First Green Industrial Area in Southeast Asia.

In a statement released on Saturday, the green industry area acts as an industrial decarbonization effort, which has become an important step not only for the industry but also the cluster.

Chair of the TF ESC-B20 Nicke Widyawati said that supporting decarbonization will accelerate the achievement of net zero emission that is targeted by Indonesia in 2060.

Supporting the development of green industry clusters will also attract more foreign investment in the future, encouraging national economic growth and create jobs.

"Decarbonization of the Industrial Cluster allows us to apply an integrated approach to the transition to net zero," said Nicke Widyawati, Chair of TF ESC-B20 who is also CEO and President Director of Pertamina, in Bali, Friday (11/11).

She continued that one of the important pillars of decarbonization is energy efficiency and circularity, using emerging technologies such as modernization of energy-efficient equipment and components, as well as the adoption of a flaring recovery system.

Other industrial decarbonization initiatives include the application of Carbon Capture, Utilization and Storage (CCUS) technology and the implementation of Nature Based Solutions (NBS).

"Indonesia has 400 billion tonnes of CO2 storage potential in our reservoirs for CCUS. We also have the second largest global NBS potential in the world," she added.

She further said that energy use in industry is the highest compared to energy use in buildings and the transportation sectors. Therefore, one of the recommendations of TF ESC-B20 is to increase global cooperation in accelerating the transition to sustainable energy use by reducing carbon intensity in various fields as well as industrial decarbonization.

For that reason, energy efficiency is one of the important pillars of decarbonization that will contribute to the Net Zero Emission target.

Globally, energy efficiency has increased by around 13 percent (2000-2017) and can be 12 percent higher if it is not stopped.

"Over the past 10 years, energy consumption has grown rapidly by 47 percent. According to the latest estimates, the annual average CO2 reduction would need to increase fivefold to reach the Paris Agreement targets. The pace of transition needs to be accelerated," she continued.

New technologies that accelerate industrial and consumer energy consumption are critical to driving efficiency, she reiterated.

Additionally, one of the policy recommendations from TF ESC-B20 is to increase global cooperation in accelerating the transition to sustainable energy use.

"We must further encourage global cooperation that will allow us to accelerate the NZE in line with the G20 theme, Recover Together, Recover Stronger," she concluded.

Contact: Heppy Wulansari, Pjs. Vice President Corporate Communication, PT Pertamina (Persero)
Mobile: +62 811-296-949, Email: heppy@pertamina.com, URL: https://www.pertamina.com
Written by: Yuni Arisandy Sinaga, Editor: Rahmad Nasution (c) ANTARA 2022

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com