Identifying the Optimal Waste Management System for a Large E&P Operation in Southeast Asia

Abstract

Abstract As a production-sharing contractor to Indonesia's national energy company (Pertamina), P.T. Caltex Pacific Indonesia (CPI) is Indonesia's largest oil producer. CPI employs approximately 6,200 people and contracts an additional 26,000 people in its operating area throughout Riau Province on the island of Sumatra. The distances between CPFs 107 producing fields, limited commercial waste management infrastructure, and the evolving nature of Indonesia's waste management regulations complicate waste management efforts. A thorough review of CPFs current waste management practices identified several improvement opportunities for managing over 90 types of hazardous and non hazardous waste. A multifunctional team was chartered to define the company-wide optimal solution for closing the gaps. Many facilitative tools were enlisted: A project development and execution process to ensure stakeholder alignment, decision quality, and efficient execution;Preferred practices and technologies for each waste type generated were selected by applying customer-driven evaluation criteria to a comprehensive list of candidate technologies;Quantitative decision analysis was invoked where the preferred technology was not intuitively obvious;The number and locations of new facilities required were identified by integrating forecast waste quantities, information about CPFs existing waste management facilities and the gaps in current practice;Different configurations of new facilities (distributed or centralised; single technology or integrated) were evaluated using qualitative determinants and quantitative tools. The outcome of these activities was a detailed execution plan for construction of new waste management facilities, and a set of understandable operating procedures to institutionalise the new practices with field personnel. The new waste management facilities, procedures, and training will minimise CPFs waste management costs and ensure compliance with Indonesia's environmental regulations.