TIMESINDONESIA, JAKARTA – At over half a century old, Pertamina has surpassed numerous milestones as Indonesia's energy company. On the global stage, Pertamina continues to compete for recognition as a world-class energy enterprise.
The performance achieved thus far should solidify Pertamina's role in safeguarding sustainable energy and national energy resilience. Energy resilience forms a vital foundation for every nation.
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Pertamina has taken several tactical steps since its establishment on December 10, 1957, to ensure the availability of energy supplies across the nation. However, it acknowledges that various challenges must be overcome to realize equitable energy for all Indonesians.
Transitioning to Green Fuels
Pertamina is gradually shifting its business model towards environmentally friendly energy products. Investments in renewable energy are being intensified, ranging from green-labeled fossil fuels to geothermal energy. This strategic move aims to facilitate the transition to a more sustainable energy future.
Referring to the World Economic Forum's report titled "Fostering Effective Energy Transition 2023," Sweden ranks as the country with the best energy transition performance globally. Indonesia, through Pertamina, can emulate Sweden as a pilot project where clean energy usage, carbon emission reduction, infrastructure readiness, regulatory frameworks, and financial capabilities serve as energy transition indicators.
Environmental degradation and global warming threats highlight the importance of green fuel production. Furthermore, sourcing all production materials domestically, such as palm oil thriving in Indonesia, aligns with sustainability principles.
Utilizing palm oil for fuel production leverages Indonesia's abundant resources and supports sustainable energy in various sectors.
Pertamina's Cilacap Refinery is capable of processing a blend of fossil fuels from refined bleached deodorized palm oil (RBDPO). Despite this success, innovation persists, including enhancing refinery capabilities to convert used cooking oil (UCO) into biofuels or hydrotreated vegetable oil (HVO).
UCO utilization is a revolutionary project that simultaneously addresses household waste production that pollutes the environment. HVO, a renewable diesel type, is processed through hydrogenation and hydrocracking using hydrogen.
Apart from D100, another environmentally friendly product is Pertamax Green 95, designed to support achieving the Net Zero Emission (NZE) target by 2060. Pertamax Green 95 contains 5% bioethanol derived from sugarcane molasses, making it an implementation of renewable energy blends.
With lower exhaust emissions, Pertamax Green 95 aims to reduce emissions from the transportation sector, a significant source of pollution in urban areas.
Harnessing Geothermal Energy and Building Energy Villages
Indonesia's immense geothermal potential ranks second globally, yet only 7% is developed. Pertamina's roadmap aims to double geothermal development within five years through Pertamina Geothermal Energy (PGE).
PGE's roadmap projects a nine-million-ton CO2 emission reduction contribution annually in ten years by maximizing geothermal potential.
Furthermore, Pertamina promotes rural involvement through the Independent Energy Village program, utilizing solar, water, wind, and biogas energy since 2019. This initiative effectively reduces carbon emissions by 565,978 tons annually.
Since 2019, accomplishments include 210,950 wp solar power generation, 605,000 m3/year biogas and methane gas energy, 8,000 watts microhydro energy, 6,500 liters of biodiesel annually, and 16,500 wp hybrid energy.
Decarbonization Project Collaboration
Pertamina collaborates with various parties to strengthen energy diversification in achieving the energy transition. For instance, Pertamina and Chevron, a US-based energy company, are bound by a Joint Study Agreement to collaborate on decarbonization projects, including developing Carbon Capture Storage (CCS) or Carbon Capture Utilization and Storage (CCUS).
CCS is an innovative technology that captures carbon dioxide (CO2) emissions from industrial processes and power plants, preventing their release into the atmosphere. Meanwhile, CCUS recycles carbon into industrial processes, such as plastics, concrete, or biofuels.
According to the International Energy Agency's roadmap for NZE 2050, CCUS technology will contribute over 10% of cumulative global emission reductions by 2050. Specifically for Southeast Asia, CCS/CCUS of 35 million tCO2 is required by 2030 and over 200 million tCO2 by 2050.
Both Pertamina and Chevron are evaluating the feasibility of CCS/CCUS development and implementation in East Kalimantan. The companies have agreed to share data and development potentials as reference information, including geological and geophysical information, maps, models, interpretations, records, summaries, and commercial information.
In addition to Chevron, Pertamina collaborates with another strategic partner, ExxonMobil, in transformative projects. Together, they will develop CCS in the Java Sea's Asri Basin and Sunda Basin, with a capacity of 3 Giga Tons CO2, requiring an investment of over US$ 2 billion or around IDR 31.4 trillion.
Energy Resilience
Climate change concerns have compelled the energy industry to reduce carbon emissions. By investing in clean energy, Pertamina can mitigate negative environmental impacts while meeting international standards on greenhouse gas emissions.
Looking ahead, by transitioning away from fossil fuels and focusing on renewable energy sources, Pertamina can provide long-term energy security for Indonesia. By embracing clean energy, Pertamina can enhance its competitiveness in a global market demanding environmentally friendly energy and become a leader in the renewable energy industry.
Adopting clean energy is not only about environmental responsibility but also a sustainable long-term business strategy for Pertamina. By focusing on clean energy, Pertamina can build robust energy resilience and play a leading role in guiding Indonesia towards a sustainable future. (*)
*) By Jimmy Wijaya
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| Editor | : Khodijah Siti |
| Publisher | : Lucky Setyo Hendrawan |
