Pioneering Transboundary CO2: Indonesia’s Role in Regional CCS Initiative

Highlight:

• As Southeast Asia faces escalating energy demands and continued reliance on fossil fuels, most of the ASEAN Member States (AMS) have committed to achieving net zero emissions. In this context, Carbon Capture and Storage (CCS) technology has emerged as essential for meeting these climate targets. Indonesia, with its pioneering regulations, is leading the advancement of regional CCS initiatives.
• To facilitate the deployment of CCS, Indonesia has enacted comprehensive legal frameworks through Ministry of Energy and Mineral Resources (MEMR) Regulation No. 2/2023 and Presidential Regulation No. 14/2024. These regulations offer detailed guidance on CCS and CCUS activities and position Indonesia as a leader in ASEAN, particularly in developing frameworks that facilitate cross-border transportation and storage of CO₂.
• Despite proactive national policies, there are critical steps needed to fulfil Indonesia’s ambition to become a regional CCS hub. Recommendations include integrating CCS into the national climate policy, crafting dedicated monitoring, reporting and verification (MRV), regulations after the transfer of liability, developing specific CCS incentive policies, and establishing a public seismic and well database. These measures are vital for enhancing CCS implementation, helping Indonesia achieve its climate objectives, and solidifying its leadership in regional CCS technologies.