
SPARKING GREEN REVOLUTION
In Asia's quest for sustainable energy solutions, the biennial Energy Asia conference serves as a vital platform for showcasing transformative ideas reshaping the region's energy future.
This year, the newly introduced 2025 Energy Asia Awards, brought two groundbreaking initiatives into the spotlight – both exemplifying the transformative potential of sustainable innovation in driving the region's energy transition.
The pitch competition and awards honoured Pos Malaysia and Pertamina, recognising their pioneering projects in sustainable logistics and community empowerment – initiatives that are setting new benchmarks for the industry.
Pioneering green logistics
Pos Malaysia received the Eureka Award in the innovation category. The national postal service is transforming the landscape with its ambitious sustainability initiatives.
Sustainability head Jared Ho shared how the company has undergone and embraced a green transformation, beginning with the implementation of electric vehicles (EVs) in its delivery fleet.
Despite initial resistance from within, the company's persistent efforts to promote a culture of sustainability have paid off.
'We started with just a small fleet of EVs, and now 25% of our last-mile vehicles are either electric or run on alternative energy,' Ho noted.
This transition was not without its challenges. Many drivers were initially skeptical, with some fearing the reliability of EVs.
'Pos Malaysia has undergone and embraced a green transformation. We target 100% alternative energy for last-mile vehicles by 2030.' - Jared Ho
Ho recounts a pivotal moment when a previously resistant driver approached him, asking, 'When am I getting my EV?' This change in attitude was largely driven by positive feedback from peers and the pride of contributing to a greener future.
Pos Malaysia's journey is a testament to the power of incremental change and strategic foresight.
By aligning their operations with environmental goals, they are not only reducing emissions but also setting a precedent for other logistics companies to follow.
Ho shared their commitment to creating green delivery zones in collaboration with municipal councils, underscoring their leadership in decarbonising urban logistics.
These zones are part of broader discussions with municipal councils, inspired by similar initiatives in countries like Belgium and England, which Pos Malaysia is actively pursuing.
Energising villages, uplifting economies
On the other side of the spectrum, Pertamina's Desa Energi Berdikari project earned the Trailblazer Award under the social impact category.
The initiative focused on empowering remote Indonesian villages through renewable energy solutions that drive economic and social progress.
Pertamina CSR manager Roby Hervindo explained how the project integrates solar panels, hydro and biogas technologies to not only electrify but also economically uplift these communities.
'The goal is to ensure these villages are not left behind,' Roby stated, highlighting how renewable energy has enabled some villages to triple their annual rice harvests.
In Bali's Desa Keliki, for example, renewable energy has transformed the village into a model of regenerative farming.
'Aiming to empower more villages, Pertamina integrates sustainable energy into local development.' - Roby Hervindo
By installing solar-powered irrigation systems and using biogas for waste treatment, the village has not only increased its agricultural output but also attracted eco-tourism, providing an additional stream of income for the locals.
Beyond technology, Pertamina invests in community education and capability building, ensuring long-term sustainability and self-reliance.
They have trained local residents to operate and maintain renewable energy systems, fostering a sense of ownership and pride.
This holistic approach ensures that the project's benefits extend beyond immediate economic gains, laying the groundwork for sustainable development.
A shared vision for sustainability
Both Pos Malaysia and Pertamina exemplify how strategic innovation can lead to substantial environmental and social benefits.
Their stories are not just about technological advancements but about making real-world impacts that align with broader sustainability goals.
The Energy Asia Awards serve as a platform to recognise these efforts, encouraging more companies to embark on similar journeys.
The awards also highlight the importance of collaboration and shared learning.
Ho pointed out, 'While we can't do it alone, sharing our experiences and strategies can inspire others across the region.'
Roby echoed this sentiment, emphasising the role of partnerships in scaling their initiatives and reaching more communities.
This collaborative spirit is essential for driving widespread change, as it fosters a network of innovators committed to a sustainable future.
The path forward
Both companies are optimistic about their roles in driving Asia's energy transition.
Pos Malaysia is continuing to expand its green logistics network, working towards the ambitious goal of converting 100% of its last-mile vehicles to alternative energy by 2030.
Pertamina, meanwhile, is scaling its village empowerment programme, aiming to reach hundreds more communities.
Their stories offer valuable insights into the challenges and rewards in the form of tangible, notable change in pursuing sustainability in diverse contexts.
In this first edition of the Energy Asia Awards, Pos Malaysia and Pertamina have set a high bar, showcasing the potential for innovation and impact in the energy sector.
Their journeys remind us that while the path to sustainability is complex, it is also filled with opportunities for those willing to lead the way.
As these projects continue to grow and initiatives continue to trudge forward with breakthroughs, they offer a beacon of hope and inspiration for a greener, more equitable future.
The Energy Asia Awards embody a commitment to a sustainable future, highlighting that sustainability is a collective journey driven by vision and innovation.
As these projects thrive, they pave the way for others, ensuring Asia leads in the global energy transition.
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New Straits Times
7 hours ago
- New Straits Times
Indonesia plans quick-to-build oil refineries for US crude, doubts persist
JAKARTA/SINGAPORE: Indonesia plans to build a network of small modular refineries to process US and domestic oil, aiming to reduce gasoline imports, but analysts warn the switch in strategy from large-scale refining facilities could prove uneconomical. The prefabricated refinery units, which can be constructed faster and more cheaply than traditional plants, will help Asia's largest importer of gasoline meet domestic demand and its commitment to increase US imports. Indonesia's focus on small refineries runs counter to the global trend of ever-larger crude processing facilities that maximise economies of scale, analysts say. Reuters reported last month that Indonesian sovereign wealth fund Danantara planned to sign an US$8 billion contract with US engineering firm KBR Inc for 17 modular refineries, citing sources and an official economic ministry presentation. Danantara has not commented directly on the deal and KBR did not respond to Reuters requests for comment. Indonesian officials confirmed the refinery plan, which was agreed as part of Indonesia's deal with Washington that includes a pledge to buy US$15 billion worth of US energy products for reduced tariffs on Indonesian goods. "We will import crude oil into Indonesia and that will require refineries that match the characteristics of US crude, so we invest accordingly," Danantara CEO Rosan Roeslani told reporters at a conference last month, adding that details were still being discussed. Deputy Energy Minister Yuliot Tanjung said there were plans to locate the refineries close to oil production sites. Initial studies for modular infrastructure and oil storage facilities have been conducted in Natuna, Surabaya, North Halmahera and Fakfak, among others. The planned projects were among those proposed to Danantara for funding, Yuliot said. Indonesia's total oil and gas imports stood at US$36.28 billion in 2024, official data showed. FEASIBILITY CONCERNS Analysts have expressed caution over the feasibility of the strategy, citing Indonesia's historical challenges in expanding its refining capacity. Indonesia's Pertamina has plans to invest US$48 billion to upgrade six refineries and construct a large refining and petrochemical complex to double the state-owned firm's oil products output to 1.5 million barrels per day (bpd). Pertamina initially partnered with major global companies for the projects, but most of the partnerships were cancelled for various reasons, including disagreement over the value of projects, forcing Pertamina to conduct most of the expansion alone. Indonesia has not built a major refinery in 30 years. Pertamina's existing six refineries have a combined capacity of 1.06 million bpd, meeting around 60 per cent of domestic fuel demand. In 2022, Pertamina completed a first-phase upgrade at the Balongan refinery to increase capacity by 25,000 bpd, but the US$7.4 billion upgrade of the Balikpapan refinery under the Refinery Development Master Plan (RDMP) is yet to be completed. A partnership with Rosneft to build a 300,000-bpd refinery and petrochemical complex in Tuban has faced delays due to sanctions on Russia over its war with Ukraine. "Building the 17 refineries seems quite ambitious considering that RDMP plans are also under way," said Pankaj Srivastava, senior vice president at Rystad Energy. Simple refineries can be completed in less than half the time of larger complexes and cost less, providing a "quick fix" and easing Indonesia's reliance on refined oil imports, but will not help the country achieve its goal to expand its petrochemical capacity, he said. Small refineries, typically with capacities of 50,000 bpd to 150,000 bpd, are generally simpler units without upgrading facilities, limiting economies of scale, said Adi Imsirovic, director at Surrey Clean Energy. Additionally, these projects - with a smaller feedstock requirement and terminal restrictions - will likely require the use of smaller vessels to import crude, raising costs significantly, said Sparta Commodities' senior analyst June Goh. She also warned that the arbitrage may not always be economical for US West Texas Intermediate crude.


The Star
a day ago
- The Star
Indonesia's ‘Gasoline Godfather' targetted in US$18bil graft probe
JAKARTA: A reclusive oil merchant dominated Indonesia's fuel trade for decades. Now he is embroiled in a US$18 billion probe into the country's state-owned oil producer that has become a litmus test for President Prabowo Subianto's anticorruption drive. Mohammad Riza Chalid (pic), who has long maintained high-level political ties, is known in the industry as the "Gasoline Godfather' for his key role in importing billions of dollars of oil products, mostly from neighbouring Singapore. His star has been waning - Indonesia wants to rely less on costly overseas purchases of gasoline or diesel - but he is the most audacious target to date for the current administration, as it reshuffles its energy procurement and attempts to supercharge growth in South-East Asia's largest economy. Though Indonesia was an early member of OPEC, oil production has declined sharply in recent decades, falling almost 60 per cent in the last quarter-century as fields age and investment falters, driving up its import bill. State oil-and-gas giant PT Pertamina has faced repeated criticism, including from Indonesia's parliament, for its inefficiency. It is now being investigated for irregularities over the import of crude and oil products between 2018 and 2023 that authorities say have cost the state 285 trillion rupiah, or roughly US$18 billion. The probe involves multiple companies, including at least one controlled by Chalid, according to statements made by the attorney general's office. "Prabowo wants to be seen as a clean president, the leader that is brave enough to eradicate corruption,' said Siwage Negara, a research fellow at the ISEAS-Yusof Ishak Institute in Singapore. "This is one thing that the Prabowo administration needs to fix if they want to really improve the quality of governance within the state-owned enterprises.' The widening inquiry into Pertamina, its subsidiaries and trading companies - one of the biggest antigraft investigations in decades in Indonesia - has already resulted in the detention of more than a dozen executives, including Chalid's son, and the questioning of more than 250 witnesses. Chalid himself is alleged by the attorney general's office to be the beneficial owner of PT Orbit Terminal Merak, which authorities believe secured a long-term lease deal with Pertamina that enabled unjust enrichment through opaque fuel-storage contracts. His son, Muhammad Kerry Adrianto Riza, is listed in company filings as a major shareholder in OTM via a series of holding companies. Indonesia's attorney general has yet to formally charge Chalid, who has failed to appear after being summoned three times since the investigation into Pertamina and its subsidiaries began. Officials say immigration records show he left Indonesia in February for Malaysia. He has not made any public statement on the case, and has no known legal representative. A lawyer for the son, currently being detained, did not respond to requests from Bloomberg, but had previously told Tempo magazine that his client's business had "nothing to do with his parents.' Queries delivered in person to the registered office of OTM were not answered. Still, authorities have publicly named Chalid several times as a suspect in the sprawling case and earlier this month said they would seek a so-called Red Notice from Interpol. Such a notification is an international alert for a wanted person, not an arrest warrant. The process is currently still in train, according to the attorney general's office. Investigators have also seized assets they say are linked to Chalid, including a Toyota Alphard, a Mini Cooper, three Mercedes sedans and cash in multiple currencies. Pertamina Chief Executive Officer Simon Aloysius Mantiri, appointed by Prabowo last year, has apologised for the probe, without specifically addressing the details of the investigation. He said the firm welcomed the attorney general's actions and would work with the government to improve transparency. Corruption probes are not new to Indonesia, and Prabowo's 10-month-old government has already pursued several - two high-profile political figures, seen as opponents of his coalition and of the previous administration, were convicted of corruption-related offenses last year and granted clemency this month - but this is the first attempt to tackle a major state-owned entity and a businessman of Chalid's stature. Chalid's political links date back at least three decades to the era of authoritarian leader Suharto, when he is reported to have helped acquire a Russian Sukhoi jet. According to state news agency Antara, he was trusted to represent an arms purchasing company in order to secure the deal. He has not commented on the report. But it was through his oil trading business that Chalid made waves, leveraging his political connections to take an expansive role in Indonesia's imports of oil products, according to former associates and business partners who asked not to be named given the sensitivity of the matter. Pertamina's Singapore-based trading arm, Pertamina Energy Trading Ltd., also known as Petral, was core to the trade - at the peak, companies affiliated with Chalid accounted for as much as 70 per cent of the unit's contracts, according to comments made by Sudirman Said, a former energy minister who commissioned a 2015 government audit into Petral, on a podcast last month. That audit, which covered Petral's operations from January 2012 to May 2015, found that intervention by third parties resulted in Pertamina paying higher prices for fuel and crude imports, according to then-CEO Dwi Soetjipto. The conclusions were reported to Indonesia's antigraft agency, but no case was ever launched against those involved. Petral, though, was shut down. Chalid, who is part of Indonesia's Arab minority, has never been a public figure, eschewing high-profile outings, but his fortune grew steadily - in 2016, business magazine GlobeAsia estimated his wealth at US$460 million. He invested widely, including in palm oil plantations and real estate. Among other bets, he is a significant shareholder of budget airline PT AirAsia Indonesia, corporate filings show. His political links grew accordingly, as he cultivated ties and welcomed politicians to his office in Jakarta's business district, according to former contacts. He helped finance Prabowo's first failed presidential bid in 2014, according to his former associates, though during a second campaign five years later he backed a party supporting Prabowo's opponent, and the ultimate victor, Joko Widodo. Still, his rise was predicated on Indonesia's heavy dependence on imported fuels. While it still produces significant volumes of crude, Indonesia has long lacked the refining capacity to meet more than 280 million people's demand for gasoline, diesel and other products. But Prabowo in particular had made reducing that vulnerability a priority, seeking to attract investment into onshore processing but more immediately cutting back on heavy reliance on Singapore - where Chalid and his profitable business were based, working out of a modest office. "We are importing fuel from a country that does not even produce it. That is funny,' Energy Minister Bahlil Lahadalia told a conference in May. Some of those imports have been replaced with purchases from other countries including the US, with whom it struck a trade deal last month. Ultimately, the renewed push for energy self-reliance has left Chalid at odds with the government's targets. According to political analyst Kevin O'Rourke, it was a change that left "literally the biggest player' looking far less untouchable - just as a new government sought to make its mark. "The oil business has just been too stable, it's not been as dynamic as nickel and palm oil,' O'Rourke, principal at Jakarta-based consultancy Reformasi Information Services, said. "He's not the only game in town anymore.' - Bloomberg


The Star
2 days ago
- The Star
Small ‘delivery fee' leads to big loss
PETALING JAYA: It is almost becoming part and parcel of stories about the risks of online shopping. Delivery and courier companies are cautioning online shoppers of scam tactics. Some of these scams even involve victims being tricked into divulging their personal details. The phishing tactic would see scammers randomly send out messages to recipients, claiming a delivery is pending and buyers need only click on a given link for more details of their parcel. Often, the scammers would request for a minimal 'delivery fee' of a few ringgit from their victims just so they could secretly record the smartphone activities including their online banking details such as the login name and password. In a recent case, a woman lost about RM2,350 after she was tricked into making a RM1.75 'delivery fee' payment for a parcel she never received. Ninja Van Malaysia chief sales officer Fariz Maswan said the company recorded over 17,000 scam-related cases last year with 40% of it occurring in the Klang Valley alone. 'We already have more than 3,500 reports in the first three months this year,' said Fariz in a statement to The Star. He said scammers had sent out messages under his company's name to hoodwink victims into paying for parcels they never ordered. 'Some victims received parcels they never ordered and were pressured to pay under Cash on Delivery (COD) terms. 'Others get fake delivery messages of what we call 'ghost scams',' he said. 'We are actively educating the public through our social media channels, sharing scam alerts and tips on how to spot red flags in such deceptions. 'We are also working with the government and we hope to stay ahead of the scammers. 'This will help Malaysians shop online with more confidence,' Fariz said. Pos Malaysia's chief operations officer Zaini Yahman said similar complaints of such fake calls and messages were also received by the company's clients. 'These fraudulent messages ask the recipients to update personal details such as addresses and banking information by clicking on malicious links or downloading APK files,' said Zaini. He cited a case last year where a customer's mobile number was compromised when she received a short message service (SMS) claiming her parcel could not be delivered. 'The message included a link to change the delivery date but it did not mention any specific shipment details. 'The customer was redirected to a page where a fee of RM1.37 was requested for a re-delivery. 'Unfortunately, when she proceeded to pay the fee, a charge of RM2,334.58 was imposed and the funds were siphoned from her account. It turned out to be a phishing link. 'When victims provide the information the scammers seek, their accounts are hacked into and lead to unauthorised cash withdrawals,' he said. Malaysian eHailing Association chief activist Jose Rizal said another scamming trend that has been identified is when scammers attempt to access personal accounts, posing as delivery riders and request for the one-time passwords (OTPs) under the guise of verifying deliveries. 'Victims are told they have a pending delivery and in order to receive their parcel, they would need to click on a given link and pay a fee for 'Customs Department taxes' or 'delivery charges',' said Jose. 'We have urged delivery companies to further enhance the identification of their delivery riders and provide proper digital proof to prevent customers from falling victim to such scams involving the delivery of parcels,' said Jose.