Papua Becomes the Focus of National Energy Strengthening, Boosting Bioethanol and Oil and Gas
Jakarta – The government is strengthening the energy security agenda in Papua through two main approaches: developing new, renewable energy based on local agricultural commodities and increasing investment in the upstream oil and gas sector.
This step is considered crucial for expanding national energy supply sources while simultaneously encouraging the contribution of eastern Indonesia to supporting long-term energy needs.
Previously, President Prabowo Subianto encouraged the development of agricultural commodities in Papua that have the potential to become renewable energy sources. Commodities such as cassava and sugarcane are considered suitable for processing into bioethanol, an alternative fuel to petroleum.
The Director General of New, Renewable Energy, and Energy Conservation (EBTKE) at the Ministry of Energy and Mineral Resources, Eniya Listiani Dewi, said the national bioethanol raw material production target from various sources, including Papua, is projected to reach 300 thousand kiloliters (KL) per year.
“Regarding Papua, the information we received was that the target was to produce 300,000 kiloliters per year,” Eniya said.
However, Eniya explained that the development of bioethanol production in Papua is still in its early stages, with a focus on plant nurseries and development as the foundation for providing raw materials.
“But the raw materials right now are just seeds, and the nursery is being expanded and propagated like that. It’s still a long way off. That’s still a long way off,” he added.
In addition to Papua, the government is also working to optimize the supply of bioethanol raw materials from regions outside Java. This policy aims to ensure more equitable production and reduce logistics costs.
“Sources outside Java must be strengthened, and many bioethanol factories will also need to be located outside Java. Because we want logistics distribution and all that, which is very costly, is going to be phased in in areas with existing sources. It’s mandated to be in areas with existing sources,” Eniya explained.
Meanwhile, strengthening Papua’s energy security is also being driven through investment in the upstream oil and gas sector. The West Papua Provincial Government has expressed support for RH Petrogas Companies’ investment plan in Indonesia, which is expected to increase production while strengthening state and regional revenues through the Revenue Sharing Fund (DBH) scheme.
The Head of the Manpower, Transmigration, Energy and Mineral Resources Agency of Southwest Papua, Suroso, hopes that upstream oil and gas business activities can run optimally.
“We hope Petrogas’ upstream oil and gas business activities can run smoothly. If production is optimal, it will certainly impact state and regional revenues through the oil and gas profit-sharing scheme,” Suroso concluded.
