General Overview On The Implementation Of Carbon Capture And Storage Activity

Background

Indonesia recently issued Presidential Regulation No. 14 of 2024 on the Implementation of Carbon Capture and Storage Activity ("CCS") ("PR 14/2024"), as a part of the central government's effort to achieve net zero emission target.

PR 14/2024 stipulates the technical guidelines for the implementation of CCS activity in Indonesia. Under this regulation, CCS is defined as a business activity with two main focuses, carbon capturing and transportation of the captured carbon to a designated space, known as the Injection Target Zone (Zona Target Injeksi or "ZTI"), which is a rock system in the geological formation used for storing carbon (Article 1 (4) and (12) of PR 14/2024).