Indonesia: Mining companies omit methane emissions

A study reveals that mining companies in Indonesia ignore methane emissions, exacerbating their environmental impact.

Share:

Subscribe for unlimited access to all the latest energy sector news.

Over 150 multisector articles and analyses every week.

For less than €3/week*

*For an annual commitment

*Engagement annuel à seulement 99 € (au lieu de 149 €), offre valable jusqu'au 30/07/2025 minuit.

Coal companies in Indonesia, one of the world’s biggest CO2 emitters, are being criticized for their neglect of methane emissions.
A recent study by British energy think tank Ember shows that only four of the sector’s ten largest operators include methane emissions in their emissions inventories.
This omission highlights a serious environmental problem not taken into account in coal mining in Indonesia.

Importance of Methane Emissions

Methane is responsible for around a third of global warming due to greenhouse gases, making it a priority for countries seeking to rapidly reduce their emissions and slow climate change.
Ember’s study points out that methane emissions from coal mines in Indonesia could exceed 8 million tonnes of CO2 equivalent, representing more than a third of the companies’ total potential emissions.

Environmental Impact and Sustainability Standards

Coal mine methane (CMM) must be extracted to improve mine safety and prevent its uncontrolled emission into the atmosphere, where it acts as a powerful greenhouse gas.
Major Indonesian coal companies, however, often neglect this crucial aspect.
Ember’s analysts urge these companies to take serious steps to measure and reduce methane emissions in order to meet national and international sustainability standards.
Indonesia, which relies heavily on coal for its energy production, has signed the Global Methane Pledge.
Jakarta affirmed its commitment to taking comprehensive national measures to achieve a global reduction in methane emissions by 2030.
However, the failure to integrate these emissions into corporate sustainability reports demonstrates a significant gap between commitments and actions.

Missed Opportunities and Recommendations

Failure to understand or account for methane emissions compromises operators’ overall sustainability reporting.
It also represents a missed opportunity to reduce emissions.
According to Ember analyst Dody Setiawan, measuring and reporting methane emissions will be crucial to coal mine decarbonization efforts.
Companies must not only comply with standards, but also actively contribute to the reduction of methane emissions for a positive environmental impact.
Ember’s study highlights a major challenge for coal operators in Indonesia: the need to address and reduce methane emissions.
With Indonesia committed to reducing its emissions under the Global Methane Commitment, it is essential that mining companies adopt sustainable practices to meet these commitments.
Integrating methane emissions management into their operations could not only improve their sustainability reporting, but also make a significant contribution to the fight against climate change.

A report by Wood Mackenzie reveals that geopolitical pressures and rising global electricity demand could keep coal-fired generation elevated well beyond current forecasts.
Ramaco Resources officially opens in the United States the first mine dedicated to rare earths in seven decades, also inaugurating Wyoming's first new coal mining operation in over half a century during a ceremony attended by senior political officials.
Turkish power producer Eren Energi Elektrik Uretim has launched a tender to buy 375,000 tonnes of thermal coal to be delivered in five shipments starting from August 2025, according to a document seen by Platts on June 27.
Ireland ends four decades of coal-based electricity production by converting its Moneypoint power plant to heavy fuel oil, now exclusively reserved for the balancing market until 2029.
China's coal imports dropped 18% in May, driven by historically low domestic prices and significant growth in national production, shifting the country's energy market dynamics.
India’s unprecedented drop in power demand led to a sharp decline in coal-based generation in May, while renewable energy output reached a record high.
Greenpeace data shows a renewed wave of coal projects in early 2025, as renewable capacity surpasses thermal energy for the first time.
Financial giant BlackRock highlights economic and strategic risks linked to an antitrust procedure backed by Washington, targeting major asset managers accused of conspiring to reduce coal production in the United States.
Adani Power will supply 1,500 MW to Uttar Pradesh through an ultra-supercritical coal power plant built under the DBFOO model, at a tariff of Rs 5.383 per unit.
A satellite analysis led by Ember and Kayrros shows that methane emissions from Australian mines are 40% higher than official reports, revealing significant gaps in the current coal sector monitoring.
Donald Trump issues several executive orders aimed at reducing regulations on the U.S. coal industry, addressing economic expectations from coal-producing states while securing national energy supply.
Backed by Chinese funding, Zambia and Zimbabwe are reviving coal projects in contrast to international energy sector trends.
New coal-fired electricity capacity added in 2024 dropped to 44 GW, driven mainly by China and India, according to a report released on Thursday.
Finnish energy company Helen has halted operations at the Salmisaari plant, the country’s last coal facility, halving its carbon dioxide emissions in one year.
An independent study suggests that the Hail Creek mine may emit up to eight times more methane than reported in Glencore's official disclosures.
Eskom has connected Unit 6 of the Kusile coal-fired power station, adding 800 MW to the national grid amid efforts to stabilise electricity supply in South Africa.
The Indian government presents a project to create a coal exchange for the domestic market, a measure aimed at improving transparency and regulating the local coal market.
The United States has announced its withdrawal from the Just Energy Transition Partnership with South Africa, thereby reducing the country’s international financial commitments in its gradual exit from coal.
Indonesia sets a floor price for coal to strengthen its control over domestic prices and influence international markets. This new strategy will take effect on March 1, 2025.
Indonesia continues to strengthen its dependence on coal, jeopardizing its greenhouse gas emission reduction commitments. This paradox is highlighted in a recent report, emphasizing the tension between environmental goals and economic realities.
Consent Preferences