Tangguh LNG: Proyek Besar, Risiko Gede
Summary
The report examines the Tangguh LNG project in West Papua, Indonesia, highlighting its negative impacts on indigenous communities, biodiversity, and the climate. It specifically criticises the role of multilateral development banks (MDBs) like the ADB, IFC, and AIIB in providing direct and indirect financing. The document argues that the planned 'train 4' expansion and the implementation of Carbon Capture, Utilization, and Storage (CCUS) are 'false solutions' that lock Indonesia into fossil fuel dependency and hinder the transition to renewable energy. It calls for a total cessation of fossil fuel funding and a strengthening of accountability mechanisms for affected communities.
Key insights
- The Tangguh LNG project, operated by BP Berau, has caused significant social and ecological damage, including the displacement of indigenous communities from their ancestral lands and the loss of traditional hunting and fishing grounds.
- The project has severely impacted the environment in Bintuni Bay, specifically resulting in the loss of 11 hectares of mangrove forests, which are critical for coastal ecosystem functions.
- Multilateral development banks have provided substantial funding for Tangguh LNG; the ADB provided $350 million in 2005 and $400 million in 2016, while the IFC and AIIB provided indirect support through financial intermediaries like PT Indonesia Infrastructure Finance (IIF) and Bayfront Infrastructure Capital IV.
- The proposed 'train 4' expansion and CCUS facilities are viewed as mechanisms that will increase Indonesia's dependence on fossil fuels and delay the transition to renewable energy.
- Current Paris Alignment methodologies used by MDBs are insufficient because they still allow investments in fossil gas if they are consistent with a country's NDCs and LTS, even if those targets do not align with the 1.5°C goal.
- The project operates in a high-conflict region of Papua where the presence of security forces to protect the 'National Vital Object' has been linked to the restriction of civic space and human rights violations.
Cite the original document
- APA
- Indri, N., & Pamintuan, M. (2025). Tangguh LNG: Proyek Besar, Risiko Gede. Trend Asia. https://trendasia.org/wp-content/uploads/2025/09/Tangguh-LNG-Big-project-Bahasa-.pdf
- Chicago
- Indri, Novita, and Marjorie Pamintuan. Tangguh LNG: Proyek Besar, Risiko Gede. Trend Asia, 2025. https://trendasia.org/wp-content/uploads/2025/09/Tangguh-LNG-Big-project-Bahasa-.pdf.
- Wikipedia
- {{cite report |last1=Indri |first1=Novita |last2=Pamintuan |first2=Marjorie |title=Tangguh LNG: Proyek Besar, Risiko Gede |publisher=Trend Asia |date=September 2025 |url=https://trendasia.org/wp-content/uploads/2025/09/Tangguh-LNG-Big-project-Bahasa-.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{indri2025tangguh, author = {Indri, Novita and Pamintuan, Marjorie}, title = {{Tangguh LNG: Proyek Besar, Risiko Gede}}, institution = {Trend Asia}, year = {2025}, month = sep, url = {https://trendasia.org/wp-content/uploads/2025/09/Tangguh-LNG-Big-project-Bahasa-.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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