CCS Regulation in Indonesia

The Government of Indonesia has established a regulatory framework for the implementation of Carbon Capture and Storage (CCS) as part of its efforts to reduce carbon emissions and achieve the Net Zero Emissions target. CCS regulations are implemented through policies in the energy and environmental sectors, particularly in oil and gas activities and climate change mitigation.

One of the primary regulations is the Minister of Energy and Mineral Resources Regulation (Permen ESDM), which governs the implementation of CCS and CCUS activities. These provisions are further strengthened by technical guidelines and implementation policies issued by relevant authorities, including SKK Migas, to ensure that CCS activities are conducted safely and in a controlled manner.

Under these regulations and policies, CCS activities encompass several key aspects, namely:

  • Carbon capture from industrial emission sources and oil and gas operations
  • Carbon transport to storage locations
  • Carbon storage in subsurface geological formations
  • Long-term monitoring and liability for the safety and integrity of CO₂ storage

As part of the regulatory implementation, the government promotes the development of CCS Hubs, including the CCS Hub Asri Basin, through collaboration among the government, business entities, and other stakeholders. The implementation of CCS activities adheres to the principles of safety, environmental protection, legal certainty, and sustainability. Where technical provisions are not yet comprehensively regulated, further arrangements will be stipulated in technical guidelines and cooperation agreements.

Key Regulatory Documents :

  1. Minister of Energy and Mineral Resources (MEMR) Regulation No. 2 of 2023 concerning the Implementation of Carbon Capture and Storage, including Carbon Capture, Utilization, and Storage (CCUS), in Upstream Oil and Gas Business Activities
  2. Pedoman Tata Kerja PTK-070/SKKIA0000/2024/S9 concerning the Implementation of Carbon Capture and Storage, including Carbon Capture, Utilization, and Storage, within Production Sharing Contract (PSC) Working Areas
  3. Presidential Regulation (PERPRES) No. 14 of 2024 concerning the Implementation of Carbon Capture and Storage Activities
  4. Minister of Energy and Mineral Resources (MEMR) Regulation No. 16 of 2024 concerning the Implementation of Carbon Storage Activities within Carbon Storage Permit Areas in the Framework of Carbon Capture and Storage Activities

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