Shell Published Report Outlining Plausible Pathways for Indonesia to Achieve Net-Zero Emissions Target by 2060
Sep 29, 2022
Jakarta - Shell today launched Indonesia scenario sketch (Indonesia Sketch) titled “Transitioning towards a sustainable and inclusive energy future” in Jakarta. The report outlines plausible pathways for Indonesia to achieve its net-zero emissions target in 2060.
To successfully make the transition to net-zero emissions by 2060, Indonesia will need to fundamentally transform its energy and land use systems. This is to be done in a way that ensure affordable and secure energy supplies to support the country’s economic growth and development during the transition.
In Indonesia, the energy sector has been identified as the second main contributor of emissions after agriculture, forestry, and other land uses. The plausible pathways to decarbonise Indonesia’s economy and industry outlined in the Indonesia Sketch involve greater adoption and implementation of low-carbon electrons and low-carbon energy solutions such as bioenergy. On bioenergy, biofuels could make up almost 60% of all liquid fuels, to displace large amounts of oil and to support the decarbonisation of hard-to-electrify sectors such as aviation and chemicals.
“Pathways to meet Indonesia’s net-zero emissions target will require significant public and private partnership to realise such aspiration by 2060. For example, developing supplies of second generation and advanced biofuels in the longer term will be essential to minimise impact on food production and the wider natural environment. It will also support the transformation of Indonesia’s land use sector from a net contributor of greenhouse gas emissions to a net-negative source of emissions,” said Dr Mallika Ishwaran, Shell Chief Economist, who spoke at the launch event.
The Indonesia Sketch also sets out the acceleration of electrification, continued improvements in energy efficiency improvements, as well as carbon capture and storage (CCS) as key actions. Deployment of CCS solution will be key to decarbonise the most expensive and hardest-to-abate emissions. This investment in low-carbon energy solutions will also generate economic multiplier effects, which essentially will benefit the economy.
Shell Indonesia President Director and Country Chair, Ingrid Siburian, said, “As a major energy producer and consumer, Indonesia can drive comprehensive decarbonisation efforts to support the country’s sustainable economic development aspiration. As a major investor in the energy sector in the country and in line with our Powering Progress strategy, Shell is committed to be an active partner in Indonesia’s energy transformation journey. The publication of Indonesia Sketch demonstrates Shell’s concrete contribution in the ongoing dialogue regarding the future of energy ecosystem in Indonesia.”
While building a net-zero energy system in Indonesia by 2060 is challenging, Shell believes it is technically possible for Indonesia to achieve its ambitions provided the country acts swiftly with a goal-oriented approach. Other key actions will include phasing down coal-fired power generation, investing in renewable generation, flexibility technologies and electricity infrastructure.
Read the full report at www.shell.co.id/IndonesiaSketch
About Shell Indonesia
Shell in Indonesia manages business in Downstream sector. Our activities include retail fuels business, lubricants, marine, as well as bitumen. Shell is the first international energy company with retail presence in the country with more than 190 operating sites in Greater Jakarta area, West Java, East Java and North Sumatera. Shell owns and operates fuel terminal in Gresik. In Lubricants, Shell provides oil products and related technical support to the industrial, automotive, and transport sectors. In 2015, Shell builds and operates a lubricant oil blending plant (LOBP) in Marunda, Bekasi, with a production capacity of 136 million litres.
Corporate Communications - Shell Indonesia
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