Publications

The oil and gas sector in Indonesia is mature and a combination of a dwindling resource base and a move towards decarbonization has led to lower investments and an increasing decommissioning bill. Many existing offshore assets are in the vicinity of potential renewable energy developments or low-carbon facilities. This study aimed to create a conceptual framework for decision-making for selecting CO2 transport in Indonesia, in this case, whether existing gas pipelines might be reutilized to reduce the costs of CCS projects in Indonesia. The decision-making system was modeled using a system dynamic. Lessons learned from other CO2 pipeline projects around the world would be the major inputs for evaluating and developing the model. Several scenarios were developed for transporting CO2 from the CCS hub to CCS sequestration injection points. Three main scenarios developed are reusing existing gas pipelines, installing new CO2 pipelines, and using CO2 vessels (ships). The advantage of using system dynamics is to understand the result of each scenario in the full life cycle of the project. According to the system dynamic result, installing the new pipeline has the most value compared to other scenarios. Re-purposing the existing gas pipeline somehow decreases the capital cost of the CCS Project significantly, but some modifications and more operation expenses are required to maintain the integrity of the pipeline.