Nestled amid the equatorial seas, Indonesia emerges as a mesmerizing archipelagic state. A sprawling tapestry of over 17,000 islands, and spanning one-eighth of the Earth’s circumference, this vast expanse is a testament to nature's abundance.
Amid this beauty lies an energy-rich heart, where geothermal power is drawn from the Earth's core, and ocean tides beckon as an untapped source of renewable potential. But it also has a rich oil and gas heritage, with the industry’s production peaking in the 1990s.1
CHALLENGES IN INDONESIA’S ENERGY INDUSTRY
However, over the last few decades, the country has faced challenges, such as declining reserves, aging oil and gas infrastructure, and regulatory issues, leading to a decrease in oil production and a shift towards natural gas, as a lower-emissions alternative.
Oil and gas will continue to play a major role in Indonesia’s varied energy portfolio, ensuring domestic energy security, but to continue to do so, certain challenges will need to be addressed. The decline in production is owed to the country’s particular set of challenges, such as investment frameworks, field development solutions and the balance between national and private entity interests. Introducing digital solutions that deliver increased efficiencies can, therefore, prove to be challenging.
CONNECTING THE DOTS AND DIGITALIZING THE ARCHIPELAGO
Key to solving this is awareness that digitalization could provide a solution to a sector with many data silos. Digitalizing operations can bring a whole host of benefits, such as reducing asset downtime and improving worker productivity and on-site execution efficiency. This is done by bringing together data that help to paint a vivid picture of an asset’s real-time status.
With even newer technologies like digital twins, Indonesian operators can access reality data, helping them to monitor assets and operations across the archipelago. Through this, pre-planning of maintenance, as well as the delivery and quality assurance of major projects, plays a large role in the broader regional energy context.
Additionally, some digital twin software models can connect site imagery to existing data, to give operators a detailed view of their assets. For Indonesia’s aging infrastructure, this could provide significant opportunities to maximize output as the assets degrade.
Source: World Oil