PGN maximises LNG FSRU Lampung to overcome the West Java gas crisis

Jakarta—PT Perusahaan Gas Negara Tbk (PGN) is utilizing the Floating Storage Regasification Unit (FSRU) Lampung facility to supply liquefied natural gas (LNG) to overcome the gas supply crisis that has hit the West Java region. Since the end of 2023, around 1,500 regional industries have had difficulty obtaining gas supplies due to declining production from major sources.

In an official statement on Monday, September 24, PGN Senior Expert Regional Sales SOR II Yudi Arianto explained that the decline in pipeline gas supply is the main problem faced by industrial consumers in the western Java region.

“Starting at the end of 2023, gas supply from Sumatra, especially from Grissik, will drop by almost half, and so will supply from Pertamina EP. As a result, we have to limit the quota for industry,” said Yudi.

According to him, in facing this crisis, LNG processed through FSRU Lampung has been optimized to meet industrial gas needs in West Java since May 2024.

“We started the first regasification of LNG and distributed it commercially to the industry. LNG from FSRU Lampung is a solution to meet the gas needs of industrial consumers in this region,” he explained.

FSRU Lampung functions as a storage and regasification facility for liquefied natural gas that can be delivered via pipeline to consumers. This step is very important in maintaining gas supply stability, especially when supply from other sources has decreased.

Seeing this trend, Yudi is optimistic that LNG will play an increasingly important role in meeting industrial gas needs in the future. “In the future, the LNG era will dominate the fulfillment of gas supply in West Java, especially for industry. We see this as a long-term solution,” he added.

So far, PGN has met the gas needs of industries in the western Java region through two main sources, namely the Grissik Field in the Corridor block managed by Medco and the Pagardewa Field managed by Pertamina. Industries that receive gas supplies from PGN are spread across various regions, including Tangerang, Cilegon, Karawang, Bekasi, Jakarta, Bogor, and Cirebon.

With the supply crisis from these sources, optimising LNG from FSRU Lampung is the main option to maintain supply stability. “This step is not only to meet current needs, but also to ensure the continuity of industry in West Java in the long term,” said Yudi. (Hartatik)

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