Jakarta - PT Pertamina Hulu Mahakam (PHM) and Pertamina foundation signed a Cooperation Agreement (PKS) on the Blue Carbon Initiative in the Mahakam Block Forest Area Use Approval Area in the Fixed Production Forest Area in PHM. The signing between the Director of PHM, President Director of Pertamina Foundation, and Director of Operations of Pertamina Foundation at Fairmont Hotel, Jakarta (14/09).

The cooperation carried out is in the form of mangrove forest conservation covering an area of 8,000 ha and rehabilitation of 1,000 ha within five years with an estimated reduction in greenhouse gas emissions of 470 thousand tons of CO2 for ten years. In addition to carbon sequestration, cooperation also includes the conservation of biological diversity in Mahakam, such as the endemic animals of Kalimantan Proboscis Monkeys and clean energy improvement through the Energy Village in Mahakam, and clean water through infrastructure improvements.

President Director of Pertamina Hulu Indonesia, Chalid Said Salim, welcomed this collaboration as a positive step in line with the sustainability strategy of PT Pertamina (Persero) to overcome climate change, with a target of reducing emissions by up to 30% by 2030 or above Indonesia's Nationally Determined Carbon (NDC) target by 2030.

"The signing of this PKS is the basis for PHM and Pertamina Foundation to synergize in the Conservation and Rehabilitation of the Mahakam Delta to support Pertamina's program in realizing Net Zero Emission, as well as overcoming climate change through steps to reduce carbon emissions in the Mahakam area optimally." Chalid explained.

According to Chalid, one of the efforts made is the preservation of mangroves that can store and absorb up to 4 times more carbon than tropical rainforests. Chalid also expressed his high appreciation to the Pertamina Foundation for this great initiative related to the Blue Carbon Initiative.

Delta Mahakam is the largest delta in Indonesia, dominated by mangrove ecosystems with an area of 13,553 ha from 150,000 ha. However, the condition has experienced deforestation up to 50%. Some studies revealed that from 2000 to 2015, deforestation reached 489.73 ha per year. According to the Ministry of Environment and Forestry, conservation efforts through rehabilitation, reforestation, and restoration of mangrove forests can provide an overview of Indonesia's development with the principle of balance of economic growth and environmental conservation.

President Director of Pertamina Foundation, Agus Mashud S. Asngari, explained that the Mahakam Project has several goals such as sustainable earth through the Pertamina Mahakam Forest, to conserve mangroves and conservation of proboscis monkeys, for the welfare of the community, improving clean water infrastructure which will be utilized by 150KK from 935KK in the region, as well as the procurement of clean water which will be realized for 50KK.

"The Blue Carbon Initiative is also in line with the Sustainable Development Goals (SDGs), where the Mahakam Project meets points 13 and 11 because it is related to conservation and rehabilitation activities, points 1 and 8 through community empowerment, point 6 with the improvement of clean water infrastructure, and point 7 through the development of Energy Villages in Mahakam," said Agus.

The Blue Carbon Initiative is part of the 16 Priority ESG Initiatives of PT Pertamina (Persero) and a priority project of Pertamina (Persero) in supporting Indonesia's G20 activities, especially on the climate change agenda. Not only that but the point of Sustainable Development Goals (SDGs) can also be fulfilled through this initiative.

PT Pertamina Hulu Mahakam (PHM) is a subsidiary of PHI that carries out upstream oil and gas operations and businesses by applying the principles of Environment, Social, and Governance (ESG) in the Mahakam Working Area in East Kalimantan. PHM, other PHI subsidiaries, and affiliates run innovative Social and Environmental Responsibility programs in the fields of Economy, Education, Health, Environment, Infrastructure, and Disaster Response to support sustainable community empowerment and the achievement of Sustainability Development Goals (SDGs). PHI's headquarter is in Jakarta. More information about PHI is available at  https://phi.pertamina.com.