MIND ID Strengthens Group Decarbonisation Through Emission Cuts and Renewable Energy Boost

State-owned Mining Industry Holding MIND ID is strengthening its decarbonisation drive amidst the acceleration of the national mineral downstreaming programme. The effort is being carried out through reducing greenhouse gas (GHG) emissions, utilising new and renewable energy (NRE), and converting to low-carbon energy to ensure industrial expansion remains aligned with sustainability targets. Amid the development of various downstreaming projects, MIND ID is targeting a 15.5% reduction in GHG emissions, equivalent to approximately 2 million tonnes of carbon dioxide equivalent (CO2e), by 2030. This target has been set despite the group’s operational energy needs being projected to nearly double within the next five years. Based on company projections, the MIND ID Group’s energy demand will increase from around 149,000 terajoules (TJ) in 2026 to 293,000 TJ in 2030, a rise of more than 90%. Without intervention, GHG emissions are estimated to increase from 6,100 kilotonnes CO2e to 12,900 kilotonnes CO2e over the same period. The increase in energy demand is in line with the development of several strategic projects, ranging from new mines in Kalimantan, the construction of an electric vehicle battery ecosystem in East Halmahera, the expansion of aluminium facilities, smelter construction, to underwater mining projects. To curb emissions, MIND ID is implementing a number of decarbonisation strategies. The first step involves converting to low-carbon fuels, including increasing the use of biodiesel from B35 to B40, replacing High Speed Diesel (HSD) with liquefied natural gas (LNG), and optimising the use of electricity from the state grid (PLN). At the operational level, PT Bukit Asam Tbk has deployed a Bucket Wheel Excavator (BWE) for coal handling at the Tanjung Enim Mining Unit to replace fossil-fuelled dump trucks. This initiative reduces emissions by approximately 5,200 tonnes of CO2e per year. Meanwhile, PT Indonesia Asahan Aluminium has converted fuel from HSD to LNG at its baking plant facility, resulting in an emission reduction of around 3,700 tonnes of CO2e while improving operational energy efficiency. Decarbonisation is also being strengthened through the use of new and renewable energy. PT Indonesia Chemical Alumina is implementing co-firing of palm kernel shell biomass as a partial replacement for coal, which can reduce emissions by around 560 tonnes of CO2e. PT Timah Tbk is operating a solar power plant with a capacity of 300 kilowatt peak (kWp), which reduces emissions by approximately 300 tonnes of CO2e. Beyond direct emission reductions, MIND ID is developing carbon offset schemes through nature-based solutions, utilising Renewable Energy Certificates (RECs), and participating in carbon trading. Member of the House of Representatives Commission XII, Eddy Soeparno, assessed that the decarbonisation efforts undertaken by MIND ID deserve appreciation as they are carried out comprehensively. “Today, what MIND ID is doing needs to be appreciated in three contexts: mitigation, adaptation, and efficiency. They are increasing the renewable energy mix as part of mitigation. In addition, they are promoting efficiency,” Eddy said. According to Eddy, increasing the use of renewable energy is a crucial step, especially for the mineral processing and refining industry, which has high emission levels. “I think it is very positive. The utilisation of NRE is very important, especially in sectors that have high carbon emission levels, such as smelters. Smelters fall into the category of hard-to-abate industries, meaning industries that find it difficult to reduce their carbon emissions,” he stated.