"Indonesia's commitment to reducing global greenhouse gas emissions will not dwindle. We continue to make real efforts through energy transition by increasing the use of low-emission energy and renewable energy," he remarked.
Amin delivered the statement while officiating the Jambaran-Tiung Biru national strategic project and MDA and MDH gas field project in Surabaya, East Java, on Wednesday.
He highlighted actual measures taken by Indonesia, such as the use of low-emission and renewable energy in order to pursue energy transition.
Before the penetration of new and renewable energy were to be massively expedited in the midst of the energy transition era, oil and gas use that considered environmental factors was still necessary to ensure energy supply and self-sufficiency as well as economic growth, he noted.
He remarked that the upstream oil and gas sector still holds strategic contribution for state revenues and as a driving force for the national economy. In 2022, upstream oil and gas business activities contributed more than 42 percent to natural resource-based non-tax state revenue (PNBP).
"The achievement of oil and gas non-tax state revenue was recorded at Rp148.7 trillion (US$9.8 billion), exceeding the initial target of Rp139.1 trillion (US$9.2 billion). In contrast to the declining percentage of use of oil and coal energy, the use of natural gas is actually increasing. Natural gas is the cleanest and most used fossil energy after oil and coal," he elaborated.
He opined that this highlighted the crucial role of natural gas, both in assuring national energy supply and in Indonesia's energy mix policy.
Hence, the government consistently promotes the use of natural gas by improving domestic industries, such as by developing the Jambaran-Tiung Biru Gas Field and the MDA and MBH Gas Fields, which were inaugurated on Wednesday.
Amin said the gas fields would supply Java's large demand for gas.
"It is expected that meeting the demand for gas will spur the business sector's dynamics, which will lead to progress in people's economy at the regional and national scopes. The multiplier effects from these two gas fields will be pushed by gas supply to PT PLN and various industries around Central Java and East Java provinces," he elaborated.
He commended the successful development of the two projects that managed to increase the national gas supply by 312 million standard cubic feet per day and contribute up to Rp37.2 trillion (US$2.5 billion) in state revenue during the project period.
He pressed for the two projects to be pursued by taking into account the health, safety, security, and environmental aspects as well as prioritizing gas supply to meet domestic needs.
Amin further highlighted that Indonesia's commitment to the goal was demonstrated by its target being increased to cut emission levels, from 29 percent to 31.8 percent by 2030 on its own, and from 41 percent to 43.20 percent with international support as well as to reach net zero emissions by 2060 or earlier.
The vice president also advised businesses to use low-carbon technology in the oil and gas industry.
He urged the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) and Cooperation Contract Contractors (KKKS) to adopt low emission technology in their operations, so that they can contribute to achieving the net zero emission target.
Related news: Indonesia raises greenhouse gas emission reduction target
Related news: Ministry targets emission reduction of 231.2 million tons by 2025
Translator: Rangga Pandu A J, Mecca Yumna
Editor: Rahmad Nasution
Copyright © ANTARA 2023
