Realizing Clean Energy in Indonesia, Pertamina Establishes Cooperation Between SOEs and International Companies

October 18, 2022 - To realize Net Zero Emissions (NZE) and develop an electric vehicle (EV) ecosystem in Indonesia, Pertamina has signed a cooperation agreement with a number of international parties. It is hoped that this cooperation can encourage the NZE target achievement in 2060 and increase the economy in Indonesia.

There have been 12 signings of cooperation and a Memorandum of Understanding (MoU) by Pertamina related to the transition of energy and clean energy. This signing was carried out in connection with the Road to G20: SOE International Conference: "Driving Sustainable & Inclusive Growth" activity, held at the Bali Nusa Dua Convention Center (BNDCC), Nusa Dua - Bali, Tuesday (18/10/2022). This activity was witnessed by the Deputy Minister of BUMN I, Pahala N Mansury.

Pahala said the collaboration between Indonesian SOEs and other state companies is the government's commitment to realizing energy transition in the country. In addition, this effort is also expected to encourage economic growth or increase energy capacity in the country.

"In the next nine years alone, we will need twice as much energy as what we produce today," he said.

"We hope this can be a model and shows the seriousness of Indonesia, especially SOEs. Indonesian SOEs are very serious in ensuring that we will also enter the energy transition period," he added.

Meanwhile, the Director of Strategy, Portfolio, and Business Development of Pertamina, Atep Salyadi Dariah Saputra, said Pertamina's plan to develop the EV ecosystem is one of the long-term strategies currently being developed through the Indonesia Battery Corporation. To note, a collaboration that aims to boost Indonesia's EV ecosystem was signed during this event.

"Pertamina will focus on supplying batteries, grids, and EV chargers. To support the EV ecosystem, Pertamina will use "My Pertamina" as an all-in-one application that can be used as a payment, queue, and maintenance system," he said.

He added that the battery industry development in Indonesia also has potential. Especially for two-wheeled vehicles that have the potential to develop faster than four-wheeled vehicles.

Currently, continued Salyadi, Pertamina is aggressively pursuing the Green Energy Station (GES) program, an environmentally friendly petrol station that provides charging or replacing batteries for electric vehicles.

"Pertamina has collaborated with several large companies to develop the EV ecosystem in Indonesia, such as Gojek, Grab, JNE, and others," he added.

Salyadi added that not only readiness in terms of technology and innovation but the development of the EV ecosystem in the country also needs to pay attention to readiness in terms of human resources (HR).

"Therefore, the energy transition must be prepared by ensuring the ability of human resources to accommodate changes (eg. transfer, upskilling & workshops). The labor transition must be accelerated as an effort to anticipate direct and indirect impacts on the labor sector," he concluded.

The signing of the cooperation carried out, namely,
- MOU “The Acceleration Of The Battery Based Electric Vehicle Program In State Owned Enterprise
- Signing of the “Carbon Trading Pilot Project of the Ministry of SOE Voluntary Carbon Market (VCM)
- Signing of “IMOU Cooperation In Potential Business Relation Data Exchange for Carbon Trading Business Development between Pertamina Persero and Indonesia Stock Exchange (Indonesian Stock Exchange)
- Signing of "Head Of Aggregation Carbon Trading Between Pertamina Power Indonesia-Pertamina Hulu Energi & Pertamina Power Indonesia-Pertamina Hulu Energi"
- Signing of Heads Of Agreement “Development Of Biomethane Production Facilities” Between Pertamina Power Indonesia and Perkebunan Nusantara
- Signing of “HOA Compressed Renewable Gas Sales Agreement” between Pertamina Power Indonesia and Pertagas Niaga
- Signing of "Joint Study Agreement Blue & Green Hydrogen And New & Renewable Energy Development At Krakatau Steel Industrial Clusters" between Pertamina Power Indonesia, Krakatau Steel and Ignis Energy Holdings
- Signing of "Joint Study Agreement Commercial Scale Development Of Clean Hydrogen Production" between Pertamina Power Indonesia, Ignis Energy Holdings and Sembcorp Energy Indonesia
- Signing of the Joint Study "Agreement Pilot Scale Development Of Green Hydrogen And Green Ammonia" between Pertamina Power Indonesia and Tokyo Electric Power Company
- Signing of MOU Bimethane Developments between PT PGN and PT KIS Biofuels Indonesia
- Signing of "Concerning The Joint Study For The Development Of The Geothermal Power Plant" between Pertamina Geothermal Energy and PT Ormat Geothermal Indonesia
- The signing of the "Business Collaboration Agreement Of Strategic Partnership" between Pertamina Persero-Pertamina Pedeve Indonesia-Pertamina International Shipping and Nippon Yusen Kaisha.