Jakarta—As it marks its 60th anniversary, PT Perusahaan Gas Negara Tbk (PGN) has built 95% of Indonesia’s natural gas infrastructure and serves over 820,000 customers across various sectors.
“PGN’s role is increasingly crucial in providing clean and efficient energy. We want to ensure that people and businesses have access to reliable, affordable, and sustainable natural gas,” said Arief Setiawan Handoko, President Director of PGN, in an official statement at the peak of PGN’s 60th Anniversary celebration in Jakarta, which falls on 13 May 2025.
Amid Indonesia’s efforts to reduce dependence on carbon-intensive fossil fuels, PGN’s service distribution has reached 18 provinces and 74 regencies/cities, ranging from Aceh, North Sumatra, East Kalimantan, to Bali and East Java. PGN’s customers come from households, industries, MSMEs, the electricity sector, and transportation.
In the first quarter of 2025, PGN recorded a natural gas distribution volume of 861 BBTUD and a transmission volume of 1,602 MMSCFD. This makes PGN a major player in the clean energy sector in Indonesia, controlling 91% of the national natural gas market.
Various strategic infrastructures support this service, including the South Sumatra – West Java (SSWJ) Transmission pipeline, Arun – Belawan pipeline, Gresik – Semarang (Gresem) pipeline, Cisem I interconnection in Central Java and West Java Area (WJA) pipeline.
“We continue to build and develop gas networks, including household and industrial gas network projects to reach more customers,” Arief added.
Expansion to Papua and renewable energy breakthroughs
Seeing the huge potential in the eastern region, PGN has also designed a gasification programme for power plants in Papua, working with local partners to build infrastructure in Jayapura, Nabire, Biak and Manokwari.
PGN is also innovating to support net-zero emission (NZE) 2060 by developing a biomethane project with a Japanese consortium as a form of future green energy diversification.
As a subsidiary of Pertamina’s Oil and Gas Holding Company, PGN receives full support from its parent company. Simon Aloysius Mantiri, President Director of Pertamina, hopes that PGN will be able to do more innovation and adaptation amid the dynamics of the energy transition.
“PGN must remain at the forefront of clean and modern gas energy distribution. The challenges are many, but the opportunities are greater,” said Simon.
Meanwhile, Pertamina’s President Commissioner Mochamad Iriawan expressed optimism that PGN could become an agent of national development by strengthening its integrated gas infrastructure from North Sumatra to East Java.
“PGN is an important pillar in the national energy map. Pertamina encourages PGN to continue to be present at the forefront of Indonesia’s energy development,” said Mr Iriawan.
Pipeline gas, CNG, and LNG services
PGN also provides Compressed Natural Gas (CNG) to reach areas not yet connected to the pipeline network. This service is flexible and suitable for households, small businesses, and transportation.
Meanwhile, the utilisation of Liquefied Natural Gas (LNG) continued to increase to meet the needs of industry and power plants. LNG regasification volume increased sharply to 237 BBTUD, up 39% compared to the previous year.
“The surge in LNG demand signifies the industry’s growing confidence in natural gas as a reliable transition energy,” said Arief. (Hartatik)
Banner photo: shutterstock