PGN boosts beyond pipeline infrastructure in eastern Indonesia to strengthen gas supply

Jakarta – PT Perusahaan Gas Negara Tbk (PGN) continues strengthening its natural gas network in Indonesia by developing beyond pipeline infrastructure to increase supply, especially in Central and Eastern Indonesia. According to the state-owned company, this step is taken to address the increasing energy needs, especially in the industrial sector, such as smelters.

PGN’s Director of Strategy and Business Development, Rosa Permata Sari, stated in a written statement on Thursday, 6 March, that developing beyond pipeline infrastructure is a strategic solution for expanding energy connectivity.

“We continue to build natural gas transmission and distribution pipelines, but looking at the geographical conditions of Indonesia, we are also developing beyond pipeline infrastructure to strengthen the resilience of gas supply, especially for industries in the eastern region,” said Rosa.

One of the infrastructures being prepared is an LNG receiving terminal and LNG Hub in eastern Indonesia. This infrastructure will enable the distribution of LNG from new gas fields and serve as a storage facility to ensure a more stable and reliable gas supply.

“We have mapped industrial areas in Central and Eastern Indonesia with a large potential demand for LNG. PGN is ready to collaborate with industry players to provide more effective and efficient energy,” she added.

In addition to supporting the industrial sector, PGN contributes to reducing dependence on LPG imports by accelerating the development of household gas networks (jargas). By 2025, PGN is targeting the construction of 200,000 household connections (SR), which at a macro level can reduce LPG imports by 100,000 metric tonnes and save energy subsidies of Rp 672 billion per one million connections.

As part of its energy transition efforts, PGN is also developing the use of Palm Oil Mill Effluent (POME) into biomethane. This biomethane project is located in Sumatra, and it plans to inject biomethane into the existing pipeline network.

“This initiative opens up new opportunities for green energy growth in the future and is in line with our commitment to support the national decarbonisation target,” said Rosa.

With these strategic steps, PGN is optimistic that it can strengthen national energy security and support industrial growth in various parts of Indonesia, especially in the eastern region, which still needs broader and more stable energy access. (Hartatik)

Banner photo: Image generated by OpenAI’s DALL·E via ChatGPT (2024)

Like this article? share it

More Post

Receive the latest news

Subscribe To Our Weekly Newsletter

Get notified about new articles