PGN strengthens national gas network, synchronises steps with government programmes

Semarang – PT Perusahaan Gas Negara Tbk (PGN), as Pertamina’s gas subholding, stated that it is ready to build connectivity and reliability of national natural gas supply, as presented by PGN President Director, Arief S. Handoko, at the Joint Convention Semarang 2025.

“We are preparing a Grow-Adapt-Step Out strategy to expand the reach of integrated gas infrastructure. The goal is to efficiently connect natural gas suppliers and end-users, while providing alternative supply options such as LNG and CNG,” Arief said.

Gas backbone from Aceh to East Java

PGN carries out its work in line with the government’s strategic programmes through documents such as the National Natural Gas Transmission and Distribution Network Master Plan (RIJTDGBN) from the Ministry of Energy and Mineral Resources and BPH Migas, the KEN RPP, and the RPJMN from Bappenas.

PGN built a number of key infrastructures that are now the backbone of gas distribution in western Indonesia, such as the Sumatra-Java Transmission Pipeline, FSRU Lampung, FSRU West Java, and the LNG facility in Arun. This network will be even stronger once the Dumai-Sei Mangkei Pipeline is completed.

With the connection, natural gas connectivity from Aceh to East Java will be fully realised, especially with the accelerated completion of the Cirebon-Semarang (Cisem) Pipeline Phase II. Arief asserted that the benefits of this connectivity will be felt by various sectors, from industry to households, through the household gas network or jargas program.

Reaching the Southern Region of Java to the Eastern Region

In addition to focusing on the western corridor, PGN is also developing the Tegal-Cilacap Gas Pipeline to reach customers in the southern part of Java. This infrastructure will open new access for local industries and encourage increased natural gas absorption along the pipeline.

“This pipeline is not only for large customers, but will also facilitate access for small users such as households and micro businesses. We will continue the jargas program to help people switch from LPG,” Arief continued.

LNG Hub Arun and receiving terminals in eastern Indonesia

Currently, PGN is revitalising and building a new tank at the Arun LNG Hub, which is targeted to increase the flexibility of LNG supply for various domestic needs. PGN is also opening up opportunities for the construction of new LNG receiving terminals on Java Island.
For the eastern part of Indonesia, which is dominated by islands, PGN considers LNG terminals to be the most appropriate solution. One of the priority projects is LNG gasification for power plants in North Papua, which is being worked on with PLN EPI.

Arief emphasised that natural gas infrastructure should be seen as the nation’s strategic asset because it has long-term benefits, both for energy security, emission reduction, and strengthening the national economy. “With policy support and cross-sector collaboration, natural gas connectivity will be the key to a cleaner and more sustainable energy future for Indonesia,” he concluded. (Hartatik)

Banner photo: Household gas network (Source: MEMR)

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