State-owned energy company PT Pertamina is strengthening its low-carbon business to support the government’s energy transition target through innovation and utilization of advanced technology to reduce carbon emissions throughout its business processes.
In a series of CEO Climate Talks events at COP29, at Azerbaijan, on Monday, November 11, 2024, IndonesianSpecial Envoy for COP29, Hashim Djojohadikusumo, emphasized that the Indonesian government supports the measures taken by state-owned enterprises, such as Pertamina, in achieving the energy transition target, simultaneously calling for the importance of global collaboration to address the climate crisis.
“We all have one common goal, which is to save this planet for future generations. Indonesia is fully committed to accelerating the energy transition, not only to reduce emissions, but also to create a balance between economic growth and environmental sustainability,” Hashim said in a media statement obtained by Indonesia Business Post.
CEO of Pertamina New and Renewable Energy (PNRE),John Anis, said in his presentation at COP29 that Pertamina is committed to supporting decarbonization in Indonesia and accelerating the achievement of Net Zero Emission (NZE) by 2060.
Pertamina has taken concrete steps in developing clean energy, including the implementation of biofuels, geothermal energy, and low-carbon technologies such as Carbon Capture and Storage (CCS) and Carbon Capture, Utilization, and Storage (CCUS). Since 2010, Pertamina has succeeded in reducing emissions by 8.5 million tons of CO2 from Scope 1 and 2 emissions.
“Pertamina has a mandate from the government to be the main driver in low-carbon and decarbonization businesses in Indonesia. This is not an easy task, but we have invested in low-emission businesses and strengthened our legacy businesses for the sake of a cleaner earth,” John Anis said.
Pertamina is also expanding its renewable energy portfolio through the development of bioethanol, batteries for electric vehicles, and charging infrastructure. In the geothermal sector, Pertamina has achieved an installed capacity of 672 MW and is targeting an increase of up to 1.4 GW by 2029. According to John Anis, geothermal will be the main pillar in Pertamina’s energy transition strategy.
In addition, Pertamina is also focusing on hydrogen production by reducing costs through technological innovation. “We hope this technology can be realized next year so that it will enable the production of green hydrogen at a cost of up to 30 percent lower,” he added.
John Anis emphasized that energy transition requires major investment support and collaboration from various parties.
“We need government support, including incentives that can encourage investment in the renewable and low-carbon energy sectors,” he said.
