Perpustakaan Digital ITB

The increased world energy consumption using fossil fuels is highly responsible for the present-day concentration of carbon dioxide (CO2). CCUS is currently the primary technology to allow the use of fossil fuels with the reduction in CO2, for example, CO2 used for Enhanced Oil Recovery (EOR). As a developing country that relies heavily on fossil fuels, CCUS-EOR can be a potential solution for Indonesia’s net-zero emission strategies while sustaining energy security. Meanwhile, the high cost of CCUS-EOR is not profitable for the contractor to use the technology. Implementing carbon price in Indonesia as a carbon tax can be a solution, as it has already started in coal-fired power plants with base tariffs of Rp 30,000/tCO2. The carbon price can help the contractor to minimize the CCUS-EOR high cost. This study will evaluate the development scenario of CCUS-EOR implementation in Indonesia with carbon price using reservoir simulation and production sharing contract (PSC) cost recovery and gross split scheme. This study will design the cost model for capturing, transporting, and storing CO2 from a coal-fired power plant to ‘B’ structure at ‘S’ field (oil reservoir) in South Sumatra. Based on the simulation result, an additional oil recovery of more than 4% of the recovery factor can be obtained. As for economics, the contractor can profit from 3 to 6 USD/tCO2 by implementing CCUS-EOR and carbon prices. The cost modelled varies from 78 to 84 USD/tCO2 for more than 1,000 tCO2/day. The total distribution for contractor and government shares is 31 and 79 million USD using cost recovery and 52 and 58 million USD using gross split.