Downstreaming Task Force Opens Incentive Options for Coal DME Projects

The Task Force for the Acceleration of Downstreaming and National Energy Resilience has completed the pre-feasibility study document for national priority projects. Of the 18 downstreaming projects in the document, eight are mineral and coal sector downstreaming projects, including the coal-to-dimethyl ether (“ DME ”) program.

Regarding the cooperation model for these downstreaming projects, Erani Yustika, Secretary of the Task Force for Downstreaming and Energy Resilience, explained that the Build-Operate-Transfer (“ BOT ”) and Build-Own-Operate (“ BOO ”) schemes are open for these projects. The specific scheme will be determined by Danantara. “Danantara will decide,” said Erani.

In addition to assessing the feasibility aspects of the projects, Erani added, the Task Force may also provide regulatory recommendations. The economic feasibility and incentive model for the DME project are among the aspects currently being reviewed and prepared for regulation.

“We are in the process of identifying these issues, and they may be discussed within the Task Force,” she concluded.