Indonesia has taken a significant step in addressing carbon emissions by entering into a Memorandum of Understanding (MoU) with ENI. This collaboration is poised to encompass a comprehensive range of initiatives, including the development of biofuels, carbon offsets, and various measures related to the broader energy transition and decarbonization agenda. Notably, the partnership will extend its reach to encompass critical technologies such as Carbon Capture Storage (CCS), Carbon Capture Utilisation and Storage (CCS/CCUS), and energy efficiency strategies.

The underlying objective of this strategic collaboration is to bolster Indonesia's efforts in accelerating decarbonization, aligning with the nation's ambitious target of achieving net-zero emissions by the year 2060. By engaging in a multifaceted approach that spans biofuel development and diverse decarbonization initiatives, Indonesia aims to position itself as a key player in the global movement towards sustainable and environmentally conscious energy practices.

ENI, as a significant participant in this collaboration, brings substantial expertise and resources to the table. The company holds participating interest in 13 Production Sharing Contracts in Indonesia, with a notable focus on deep waters, where it has a presence in nine contracts.

The MoU with ENI aligns seamlessly with Indonesia's broader economic goals, particularly its vision for sustainable growth and emissions reduction. Over the past half-century, Indonesia has experienced remarkable economic expansion, with notable implications for its energy sector and associated emissions. Coal has played a substantial role in this trajectory, as acknowledged by the International Energy Agency (IEA). Despite recent signs of a slowdown in exports and commodity prices, Indonesia's economy exhibited a robust 5% growth in the fourth quarter of 2023.

The collaborative efforts between Indonesia and ENI underscore the mutual commitment towards fostering sustainable energy solutions and combatting climate change. By focusing on biofuel development, carbon offsets, and cutting-edge decarbonization technologies, the partnership aims to contribute significantly to Indonesia's overarching goal of achieving net-zero emissions by 2060. ENI's role as a key player in Indonesia's energy sector positions the company as a strategic partner in the nation's journey towards a more sustainable and environmentally responsible future.

The MoU between Indonesia and ENI represents a crucial step in the nation's pursuit of decarbonization and sustainable energy practices. The comprehensive collaboration, spanning biofuels, carbon offsets, and advanced decarbonization technologies, reflects the shared commitment to addressing climate change and advancing Indonesia's economic and environmental goals. ENI's active participation in Indonesia's energy landscape further solidifies its role as a catalyst for sustainable development, contributing expertise and resources towards the nation's ambitious targets for net-zero emissions by 2060.