Jakarta – PT Pupuk Indonesia (Persero) asserts that Carbon Capture Storage (CCS) technology is not only a decarbonisation tool but also a long-term investment that can become a new growth engine for the company. This aligns with the company’s commitment to reduce carbon emissions and strengthen its position as a pillar of national food security.
Pupuk Indonesia’s President Director, Rahmad Pribadi, emphasised that CCS technology provides a solution to grow with less carbon.
“We have high-purity CO2, so all we need is storage and a way to get that CO2 into the ground,” Rahmad said during a panel discussion at The International Indonesia CCS (IICS) Forum 2024 on Thursday, August 8.
Pupuk Indonesia has planned several CCS-related projects, including the production of 4.3 million tons of blue ammonia in Aceh and South Sumatra. The company will also develop a carbon storage facility in East Kalimantan that is expected to begin operations in 2030.
To support this initiative, Pupuk Indonesia has signed a Joint Development Study Agreement (JDSA) with Chevron New Energies International Pte. Ltd. regarding carbon capture and low-carbon ammonia production.
President Joko Widodo has issued Presidential Regulation (Perpres) Number 14 Year 2024 which regulates carbon capture and storage activities to achieve climate targets in the nationally determined contribution (NDC) and carbon neutrality or net zero emission (NZE). Pupuk Indonesia expressed its commitment to actively participate in the development and utilisation of CCS technology following this regulation.
Rahmad explained that by 2045, the company’s ammonia production will increase from 7 million tons to 12 million tons, with most of it coming from clean ammonia.
“Our grey ammonia will be reduced to only 2.3 million tons. Pupuk Indonesia will convert several plants to blue ammonia and build greenfield projects for blue and green ammonia,” Rahmad said.
According to Rahmad, CCS is not just a decarbonisation effort that is seen as an additional cost.
“For Pupuk Indonesia, CCS is a path to a better future. It is our new growth engine for the future,” he emphasised. (Hartatik)