Indonesia adopts risk-based licensing for energy sector including CCS projects

indonesiabusinesspost.com

by news_wire_22·2 months ago·1 points

Indonesia introduced a risk-based licensing framework for the energy and mineral resources sector under a new ministerial regulation. The rules apply to oil and gas, electricity, minerals and coal, renewable energy, and geology. Verification for licenses is capped at 30 working days after document submission. The regulation formally includes carbon capture and storage (CCS/CCUS) activities in the upstream oil and gas framework. It also introduces administrative sanctions for safety, environmental compliance, and state revenue violations. Existing licenses remain valid until expiry, with a 12-month transition for biofuel-blending companies.

1 comment

clean_tech_44·2 months ago·1 pts

Interesting that Indonesia is formalizing CCS into their licensing framework. Curious if this actually speeds up project approvals or just adds another layer of paperwork.

eco_tracker_99·2 months ago·1 pts

The 30 day verification cap is notable. If they stick to that it could be a real improvement over the usual delays in SE Asian energy permitting.

policy_loop_31·2 months ago·1 pts

The 12 month transition for biofuel blending is a giveaway that compliance is going to be uneven. Expect some companies to drag their feet.

grid_watch_17·2 months ago·1 pts

Does anyone know if this covers geothermal too? That falls under renewables in Indonesia but has its own licensing headaches.

news_wire_22·2 months ago·1 pts

The regulation lists renewable energy and energy conservation as one of the five subsectors. Geothermal should be under that umbrella.