Jakarta – PT Perusahaan Gas Negara Tbk (PGN), as Pertamina’s Gas Subholding Company, through its subsidiary PT Gagas Energi Indonesia (PGN Gagas), has initiated two new strategic projects: the construction of an LNG Hub in Bandung and a CNG Mother Station (MS) in Medan. According to a written statement from PGN on Thursday, October 23, these two projects are being launched as important steps in expanding the use of natural gas in various industrial and transportation sectors in Indonesia.
PGN President Director Gagas, Santiaji Gunawan, explained that the development of LNG and CNG infrastructure aims to strengthen the natural gas supply chain to make it more inclusive and reach areas that do not yet have pipeline networks.
“We want to ensure that clean energy based on natural gas can be enjoyed more widely, both for large industries, commercial sectors, and MSMEs. The development of the Bandung LNG Hub and Medan CNG Mother Station is part of our commitment to strengthening the national gas ecosystem,” he said.
The LNG Hub built in Bandung will have a capacity of 0.5 MMSCFD and is designed to be a storage and distribution centre for Liquefied Natural Gas (LNG) in West Java and surrounding areas. This infrastructure will also support alternative energy supplies in areas not yet reached by PGN’s gas pipeline network.
Meanwhile, the Medan CNG Mother Station, with a capacity of 1 MMSCFD, is being prepared to meet the gas needs of the industrial, commercial, and MSME sectors in North Sumatra. This project has a potential utilisation of up to 4.48 BBTUD, which will help reduce dependence on imported energy sources such as LPG.
For more than a decade, PGN Gagas has been known as a pioneer in the development of Compressed Natural Gas (CNG) in Indonesia. CNG technology, which compresses natural gas into a small volume without losing energy, has proven to be efficient and low in emissions. This product is now widely used by the industrial and transportation sectors as a substitute for conventional fuels.
The benefits of CNG are also directly felt by industrial customers, such as PT Dharma Polimetal Tbk (Dharma Group).
“After switching to CNG, we have seen improvements in operational cost efficiency and more stable production continuity. This energy source is much more environmentally friendly and supports the sustainability of our business,” said Tony Herdian, Business Unit Head of Dharma Group.
In addition to strengthening energy infrastructure in the industrial sector, PGN Gagas also supports strategic government programs, including the provision of clean energy for Free Nutritious Meal service kitchens in Batam, Bogor, and Boyolali. PGN Gagas also operates 11 Gas Fuel Filling Stations (SPBG) in 7 provinces, serving 2,200 vehicles every day, and has prepared Mobile Refuelling Units (MRU) to support public transportation fleets such as city buses (BRT), three-wheeler taxis, and taxis.
According to Santiaji, the development of the LNG Hub and MS CNG is an important foundation in realising a resilient, efficient, and sustainable gas energy system.
“We are not only building facilities, but also creating an ecosystem that promotes national energy independence. This is part of the transformation towards a cleaner and more affordable energy future,” he said. (Hartatik)
Banner photo: Image generated by OpenAI’s DALL·E via ChatGPT (2024)


