Jakarta – PT Perusahaan Gas Negara (PGN) stated that it continues to expand the gas network (jargas) for households as a strategic step to reduce dependence on imported LPG, conveyed in a statement on Monday, November 11. Until 2024, PGN has managed gas networks for 820,000 house connections (SR) in various regions, which is estimated to reduce LPG consumption by 83,000 metric tons per year.
Iwan Prasetya Adhi, a member of the Committee of the Downstream Oil and Gas Regulatory Agency (BPH Migas), explained that natural gas infrastructure development is currently intensifying. One of the major projects is the construction of a transmission pipeline from Semarang to Batang that transports gas from sources in East Java and Jambaran-Tiung Biru (JTB).
“We hope the gas pipeline network can connect from Aceh to East Java. That way, excess gas supply in Aceh and East Java can be channelled to areas experiencing LPG shortages,” Iwan said.
According to Iwan, the Minister of Energy and Mineral Resources (ESDM) has also instructed that the gas network in Java be optimized to reduce dependence on LPG. “If the gas network can be connected to households, people will enjoy natural gas as easily as PDAM water,” he added.
Meanwhile, PGN’s Director of Infrastructure and Technology, Harry Budi Sidharta, explained that gas network development is PGN’s priority in supporting the government’s energy substitution program. Harry highlighted that most of Indonesia’s LPG needs are still met through imports, which burdens the state budget. According to him, this program aligns with the government’s goal of reducing the fiscal deficit and strengthening energy security.
PGN targets constructing 400,000 new house connections by 2025 through an independent investment program called GasKita. This program, which started in 2021, continues to be developed to reach more households in various parts of Indonesia.
Based on a survey conducted by PGN, around 56 per cent of households still feel comfortable using LPG. In comparison, another 17 per cent are concerned about the price of natural gas, which is not yet competitive compared to subsidised LPG. (Hartatik)
