Indonesia to cease petrochemical imports from 2027, says Minister
Indonesia hopes to not import petrochemical products from 2027, due to Indonesia’s development in North Kalimantan’s green industrial area, said Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan in early March.
“The Tanah Kuning Kalimantan Industrial Park Indonesia (KIPI) in North Kalimantan province would be the largest integrated industrial area in the world,” said Luhut at the 2023 Mandiri Investment Forum.
“The president (Joko Widodo) visited (North) Kalimantan to attend the groundbreaking ceremony of the 1,400 MW hydropower (plant). We will build the largest petrochemical industry there. We will no longer import petrochemicals in 2027,” he said.
The power plant, called Mentarang Induk, is being developed by PT Kayan Hydropower Nusantara, a joint venture between Indonesian companies PT Adaro Energy Indonesia and PT Kayan Patria Pratama Group, and Malaysia’s Sarawak Energy Bhd.
The 1.375 gigawatt plant will be linked to an industrial area, Jokowi said, and will house electric vehicle and battery plants as well as aluminium and petrochemical facilities.