PGN: Government needs to strengthen natural gas policy for energy security

Jakarta – Indonesia needs to optimise natural gas utilisation during the energy transition for energy security, according to an official of Perusahaan Gas Negara (PGN) in a written statement.

PGN Director of Strategy and Business Development Rosa Permata Sari said the declining production of oil and pipeline gas, while energy consumption continues to increase, has the potential to increase imports and the trade balance deficit.

“Therefore, it is necessary to utilise alternative energy sources to reduce dependence and fuel imports,” said Permata Sari, adding that natural gas can be an alternative energy solution because there are more natural gas reserves in Indonesia and the world than oil.

She explained that PGN, as the manager of Indonesia’s largest natural gas infrastructure network, can cover a wide area with effective and efficient services. With a natural gas infrastructure network of more than 31 thousand km and 4 LNG terminals, this network is expected to ensure a reliable and interconnected natural gas supply in various parts of Indonesia.

Permata Sari said, “compared to other energy sources, natural gas prices are relatively more affordable”.

PGN provides natural gas services ranging from USD 6 USD to USD 13.87 per MMBTU. This price is still below RON 90 (Pertalite) at USD 17.3, 12-kg LPG canisters at USD 26.20, and HSD (high-speed diesel fuel) at USD 41.18.

Regarding environmental sustainability, PGN wants to create the utilisation of natural gas energy, including LNG, as the leading choice.

Natural gas carbon emissions are 59 kg CO2 per MMBTU, much lower than LPG (66 kg CO2 per MMBTU), gasoline (72 kg CO2 per MMBTU), petroleum (77 kg CO2 per MMBTU) and coal (98 kg CO2 per MMBTU), PGN noted. (Hartatik)

Like this article? share it

More Post

Receive the latest news

Subscribe To Our Weekly Newsletter

Get notified about new articles