Government Develops KBLI to Support CCS Project Implementation

The Ministry of Energy and Mineral Resources (Kementerian Energi dan Sumber Daya Mineral – “ESDM”) plans to develop a number of Indonesian Standard Business Classifications (Klasifikasi Baku Lapangan Usaha Indonesia – “KBLI”) for the development of Carbon Capture and Storage (“CCS”) projects in the Oil-and-Gas sector.

The Coordinator for the Development of Oil-and-Gas Working Areas at the Ministry of ESDM, Dwi Adi Nugroho explained that currently a number of CCS project business permits still use KBLI codes that are not specifically regulated for these activities.

He gave an example of the KBLI Code for CO2 transportation currently still using the code for gas transportation, in addition to the KBLI Code for storage operations still using the same code as waste management.

"But the next KBLI will introduce that this commodity will be under commodities that can be transported or injected and will be regulated in Government Regulations," said Dwi.

Dwi confirmed that he has collaborated with the Ministry of Investment/Downstreaming and the Head of BKPM, Statistics Indonesia and the Ministry of Environment to immediately provide a special KBLI code for CCS activities in the Oil-and-Gas sector. According to him, the Ministry of Environment is currently revising the relevant regulations of the minister to adjust the special KBLI.