The Government of Indonesia, through the Coordinating Ministry for Maritime and Investment Affairs, has announced plans to transition the country’s maritime sector to zero-carbon fuel as well as develop green ports. In line with this, a national oil company has commenced the production of low sulphur marine fuel oil (LS MFO) for the naval armada fuel. The agency has also opened a bulk freight port in the Krakatau International Port complex, making LS MFO available for international shipping.

The government has encouraged small boats to transition away from oil to clean fuels in their operations. Solar panels will also be installed on the roofs of Indonesia’s ports as part of a new programme. The government has supported the use of carbon capture, utilisation, and storage (CCUS) technology in the development of oil and rare earth gas deposits.

Currently, Indonesia has 39,510 cargo ships and 171,754 fishing boats in its fleet. The national shipping industry accounts for 19 per cent of Indonesia’s carbon dioxide emissions. The move to decarbonise Indonesia’s maritime sector is in line to support the country’s updated nationally determined contributions (NDC).