Indonesian Political, Business & Finance News

MPR says Oil and Gas Bill emphasises sustainability to drive Indonesia's economy

| Source: ANTARA_ID Translated from Indonesian | Energy
MPR says Oil and Gas Bill emphasises sustainability to drive Indonesia's economy
Image: ANTARA_ID

Deputy Speaker of the People’s Consultative Assembly (MPR) Eddy Soeparno has said that the Oil and Gas Bill (RUU Migas) currently under deliberation emphasises sustainability as one of the instruments for driving economic growth.

“Because the future Oil and Gas Law is a law that will emphasise sustainability, which is indeed one of our features for developing the economy going forward,” Eddy said after the International and Indonesia CCS Forum 2026 in Jakarta on Wednesday.

He said Indonesia has a target to strengthen national energy security. However, on the other hand, the government also needs to maintain its commitment to achieving decarbonisation targets.

Furthermore, according to him, strengthening national energy security needs to go hand in hand with decarbonisation efforts, one of which is through the development of carbon capture and storage (CCS) technology.

He said the House of Representatives (DPR RI) is currently deliberating the Oil and Gas Bill, which will later include provisions related to CCS as part of the regulation.

According to Eddy, the existence of such rules will provide legal certainty for the development of CCS in Indonesia.

He added that the Oil and Gas Bill does not only regulate CCS, but also covers the regulation of the upstream and downstream oil and gas sectors, which have now undergone significant development.

According to him, the establishment of new regulations related to oil and gas is important because the development of the oil and gas industry has become increasingly advanced and requires a more relevant legal foundation.

“This is what we are currently working on, and we hope that this deliberation, because it has already passed the first decision at the Plenary Session, can then be followed up in direct discussions with the government,” he said.

Eddy hopes that the deliberation of the Oil and Gas Bill can be completed and enacted in the near future.

“We are trying to target it as soon as possible. Hopefully it can be completed within the next few months. But indeed, if we anticipate it, all colleagues, all factions in Commission XII of the DPR RI want this to be completed as quickly as possible. Hopefully before the end of this year,” he said.

Regarding the position of CCS in the Oil and Gas Bill, Eddy explained that the technology will be part of efforts to develop upstream oil and gas activities by utilising empty reservoirs as carbon storage sites.

“The position of CCS is one of the efforts for us to carry out upstream oil and gas activities but by utilising empty reservoirs to store the CO2, stored so that it can also be utilised for CCUS,” he said.

He assessed that CCS and carbon capture, utilisation, and storage (CCUS) have strong relevance in the deliberation of the Oil and Gas Bill because they can be a solution in managing carbon emissions while supporting the sustainability of the energy sector.

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