Targeting Emission Reduction and Energy Transition, Pertamina Pursues 3 Agendas

Jakarta, September 6, 2023 - PT Pertamina (Persero) is committed to maintaining its energy transition program while reducing carbon emissions. However, as a developing country, Pertamina must maintain energy security, expanding energy access and affordability by pursuing three primary agendas.

This statement was made by the President Director of PT Pertamina (Persero), Nicke Widyawati, during the CEO Fireside Chat on Developing Green Infrastructure at the ASEAN Indo-Pacific Forum (AIPF) 2023.

In connection with this, Minister of SOE Erick Thohir revealed that in facing complex global challenges, the Indonesian government, through SOE, actively collaborates with global partners to address issues in various sectors, including the energy sector.

Indonesia continues the process of transitioning to energy resilience based on renewable energy sources (RE). RE will be the main factor in reducing carbon emissions in the future.

According to Erick, the SOEs have prepared various solutions related to RE, such as the strategic alliance formation in ASEAN to build a battery value chain ecosystem.

"This solution represents the transformative power of regional cooperation for the collective progress of ASEAN and the Indo-Pacific community," Erick said before the ASEAN heads of state during yesterday's AIPF opening ceremony.

Furthermore, Nicke Widyawati explained that the goal of the energy transition is Net Zero Emission (NZE). Meanwhile, as a developing nation, Indonesia aims to increase its Gross Domestic Product (GDP) to maintain economic growth and stable inflation rates. Therefore, Indonesia requires energy as a catalyst to sustain economic growth.

"Pertamina has a mandate to ensure energy security and resilience. We also need to support the government's target to achieve NZE," said Nicke Widyawati at the AIPF event held at the Hotel Mulia Jakarta on Wednesday, September 6, 2023.

To achieve this target, Nicke stated that Pertamina must maintain its existing business through different operational methods, including decarbonization initiatives.

Pertamina's three agendas in pursuing decarbonization and implementing energy transition programs are: first, transforming refineries into green refineries and developing bioenergy. Second, developing zero-carbon projects like geothermal and hydrogen projects. Third, developing carbon-negative initiatives such as Carbon Capture Utilization and Storage (CCUS) projects and Natural Based Solutions (NBS).

"These three agendas are expected to sustain the energy transition program and reduce carbon emissions," added Nicke.

According to her, Indonesia has significant potential in resources, including the world's largest nickel reserves, the second-largest tin reserves, the sixth-largest bauxite reserves, and the seventh-largest copper reserves. Indonesia also has over 430 gigawatts of environmentally friendly energy sources such as geothermal, hydro, solar, and wind, and around 400 gigawatts of CCUS potential.

"With this immense potential, we can accelerate the energy transition in the Indo-Pacific region while ensuring energy resilience," Nicke added.

Pertamina, as a leading company in the energy transition, is committed to supporting the Net Zero Emission 2060 target by continuously promoting programs that directly impact the Sustainable Development Goals (SDGs) achievement. All these efforts align with Environmental, Social & Governance (ESG) implementation across all Pertamina's business lines and operations.**