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State-owned energy company PT Pertamina (Persero) supports Indonesia’s aspirations to achieve net zero emissions by 2060.
Indonesia has increased its greenhouse gas (GHG) emission reduction target to 31.89% on its own, and 43.20% with international assistance, through the Enhanced Nationally Determined Contribution (NDC) document.
“In terms of reducing emissions, Pertamina has set an emission reduction target of 30% in 2030, compared to our 2010 baseline,” said Main Director and President Director of PT Pertamina (Persero) Nicke Widyawati in a COP27 panel discussion in Sharm El Sheikh, Egypt, Sunday.
In 2021, Pertamina has succeeded in reducing GHG emissions by 7.4 million metric tons of CO2, or 29.09% compared to the 2010 baseline.
This emission reduction was achieved through reducing non-routine emissions from processes used for self-fuel use and for supplying gas to customers by 69.7% with more efficient equipment included in the Energy Efficiency Program and contributing 13.9% for using low-carbon energy sources that contribute 16.2% and other activities.
To achieve the net zero aspirations, Pertamina has developed a holistic strategy that is conveyed through two pillars, namely the decarbonization of business activities and development of new green businesses; as well as three enablers, namely developing carbon accounting standards that have been approved by national and international regulations as well as implementing Pertamina’s Internal Carbon Pricing, building a sustainability organization that will keep Pertamina’s business on the Net Zero Roadmap track, and engaging stakeholders to fully support the national NZE targets and commitments.
This objective is supported by the company’s long-term investment strategy. Pertamina’s cumulative CAPEX until 2060 for the Green Business Initiative is estimated at around US$40 billion for biofuels, renewable energy sources, CCS/CCUS, battery and EV ecosystems, hydrogen, and carbon businesses.
“Pertamina accelerates green business development from upstream to downstream through the entire integrated value chain. Pertamina is targeting EBT capacity to reach 60GW from solar, hydro, wind power, and geothermal, to be able to meet a 15 percent market share in 2060,” said Widyawati.
With the achievements achieved up to 2021, PT Pertamina (Persero) has an ambitious target until 2060.
“We also have full support from the Government to synergize in achieving the net-zero plan in Indonesia,” said Widyawati.