Legal and regulatory framework for carbon capture, utilization and storage of The Republic of Indonesia

  • Nguyen Anh Duc Vietnam National Industry - Energy Group (PVN)
  • Hoang Anh Tuan Vietnam National Industry - Energy Group (PVN)
  • Nguyen Trung Khuong Vietnam National Industry - Energy Group (PVN)
Keywords: Carbon capture and storage (CCS), carbon capture, utilization and storage (CCUS), legal framework, Indonesia

Abstract

Carbon capture and storage (CCS) is a method for reducing carbon emission that consists of 3 main steps: capturing, compressing and transporting CO2 to locations where it is permanently injected into geological formations such as saline aquifers or depleted oil and gas reservoirs. Carbon capture, utilization and storage (CCUS), meanwhile, takes this further by reusing captured CO2 from industrial processes to produce new products such as concrete or biodiesel. With the goal of reducing CO2 emissions from domestic industries while positioning itself as a regional hub for Southeast Asia, Indonesia has developed a legal framework for CCS/CCUS activities.
Based on a review of Indonesia’s legal framework for CCS/CCUS [1 - 6], this article provides reference information that may support Vietnam in developing its own CCS/CCUS legal and regulatory framework.  

References

Presiden Republik Indonesia, “Peraturan Presiden Republik Indonesia nomor 14 tahun 2024 tentang penyelenggaraan kegiatan penangkapan dan penyimpanan karbon”, 2024 (PR 14/2024).

Berita Negara Republik Indonesia (BNRI), “Peraturan Menteri Energi dan Sumber Daya Mineral nomor 2 tahun 2023: Penyelenggaraan penangkapan dan penyimpanan karbon, serta penangkapan, pemanfaatan, dan penyimpanan karbon pada kegiatan usaha hulu minyak dan gas bumi”, 2023 (MEMR 2/2023).

Berita Negara Republik Indonesia (BNRI), “Peraturan Menteri Energi dan Sumber Daya Mineral Nomor 16 Tahun 2024: Penyelenggaraan kegiatan penyimpanan karbon pada wilayah izin penyimpanan karbon dalam rangka kegiatan penangkapan dan penyimpanan karbon”, 2024 (MEMR 16/2024).

Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak Dan Gas Bumi (SKK Migas), “Pedoman tata kerja nomor PTK-070/SKKIA0000/2024/S9 tahun 2024 tentang penyelenggaraan penangkapan dan penyimpanan karbon, serta Penangkapan, pemanfaatan, dan penyimpanan karbon pada wilayah kerja kontraktor kontrak kerja sama”, 2024.

Frédéric Draps, Alfred Ng, Jean-Louis Neves Mandelli, Jessica Davies, Guy Dwyer, Norman Ibnuaji, Dan Trevanion, and Rachelia Jumanti, “Indonesia issues further regulations for CCS and CCUS deployment - A quick guide to Presidential regulation 14/2024 and SKK Migas regulation PTK-070”, 6/3/2024. [Online]. Available: https:// www.ashurst.com/en/insights/indonesia-issues-further- regulations-for-ccs-and-ccus-deployment/.

Frédéric Draps and Norman Ibnuaji, “Indonesia CCS - New regulation on carbon storage”, 21/2/2025. [Online]. Available: https://www.ashurst.com/en/insights/indonesia-ccs-new-regulation-on-carbon-storage/.

Denia Isetianti and Robert Reidr, “Indonesia’s carbon capture regulations: The latest addition to Indonesia’s evolving legal framework”, 2024. [Online]. Available: https://bsd-kadin.id/2024/02/12/indonesias-carbon-capture-regulations-the-latest-addition-to-indone…

Assegaf Hamzah & Partners, “Indonesia’s carbon capture and storage (CCS) regulatory overview: Steps to become Asia-Pacific hub?”, 13/2/2024. [Online]. Available: https://www.ahp.id/indonesias-carbon-capture-and- storage-ccs-regulatory-overview-steps-to-become-asia- pacific-hub/.

Setyawati Fitrianggraeni and Marcel Raharja, “Indonesia’s carbon capture storage policy in comparison with other countries”, 26/6/2023. [Online]. Available: https://www.lexology.com/library/detail.aspx?g=c01a878b-4a77-4b4a-b216-bf099bc5eab6.

International Energy Agency (IEA), “Legal and regulatory frameworks for CCUS”, 25/7/2022. [Online]. Available: https://www.iea.org/reports/legal-and-regulatory-frameworks-for-ccus.

Published
2025-04-29
How to Cite
Nguyen, A. D., Hoang, A. T., & Nguyen, T. K. (2025). Legal and regulatory framework for carbon capture, utilization and storage of The Republic of Indonesia. Petrovietnam Journal, 2, 58-67. https://doi.org/10.47800/PVSI.2025.02-06