Pertamina Patra Niaga, Vale Indonesia help drive decarbonization with renewable diesel

Photo: Pertamina

PT Pertamina Patra Niaga announced in mid-September that it and mining company PT Vale Indonesia have entered into a strategic partnership to provide renewable diesel as part of the companies’ effort to support decarbonization following Indonesia’s target of achieving net-zero emissions by 2060.

According to Pertamina Patra Niaga, the collaboration focuses on the use of hydrotreated vegetable oil (HVO) known as Pertamina Renewable Diesel and reflects its commitment to becoming an energy-solution provider and a key partner in decarbonization within the industrial sector, stated through the signing of a memorandum of understanding (MOU) between Riva Siahaan, the president director of PT Pertamina Patra Niaga, and Febriany Eddy, the president director of PT Vale Indonesia, in Bali Sept. 9.

This partnership marks a joint commitment to reducing carbon emissions through clean-energy utilization.

HVO, a sustainable fuel, has the potential to reduce carbon emissions by up to 85 percent and greenhouse-gas emissions by 90 percent, according to Pertamina Patra Niaga.

Riva stated that through the “Pertamina One Solution,” Pertamina Patra Niaga offers integrated energy solutions designed to meet the diverse needs of business partners, including PT Vale Indonesia. 

“These solutions include the provision of cleaner fuel, along with efficient logistical and infrastructure support, ensuring optimal and sustainable business operations,” he said.

Riva added that the strategic partnership between Pertamina Patra Niaga and PT Vale Indonesia focuses on providing clean-energy products and community-empowerment programs.

“In addition to decarbonization, this partnership aims to help strengthen the implementation of ESG and support PT Vale Indonesia in complying with environmental regulations enforced by the ministry of environment and forestry, including the ‘Proper’ rating assessment,” he said. “This collaboration aligns with PT Vale Indonesia’s efforts to enhance environmental sustainability standards in their operations.”

Febriany stated that this strategic partnership follows the company’s decarbonization roadmap.

“This collaboration is crucial for PT Vale Indonesia in achieving and enhancing sustainability standards and reducing carbon emissions throughout our operations,” Febriany said. “Pertamina Patra Niaga’s products and services, such as HVO, will be highly beneficial in our decarbonization journey.”

As part of this partnership, Pertamina Patra Niaga will work with PT Vale Indonesia on community-empowerment programs, helping to create sustainable positive impacts for local communities while ensuring the implementation of social- and environmental-responsibility principles through cooperation with the Pertamina Foundation.

Fadjar Djoko Santoso, Pertamina’s vice president of corporate communications, said Pertamina continues to engage in strategic synergies with business partners to expand decarbonization efforts in Indonesia.

“This synergy is expected to accelerate the achievement of carbon-emission reduction targets in line with the national goals set by the government,” Fadjar said.

Pertamina said as a leading company in the energy transition, it is committed to supporting the net-zero 2060 target by continuously promoting programs that directly impact achievement of the United Nations’ sustainable-development goals (SDGs).