Jakarta – PT Perusahaan Gas Negara Liquid Natural Gas (PGN LNG), a subsidiary of PT PGN Tbk operates a Floating Storage and Regasification Unit (FSRU) or Floating LNG Terminal Facility in Lampung. This integrated natural gas infrastructure supplies gas to the Jakarta area and western Java.
PGN’s Director of Strategy and Business Development, Harry Budi Sidharta, said that the Lampung FSRU is connected with a 24-inch diameter subsea pipeline as far as 21 Km to the Onshore Receiving Facility (ORF) in Lampung. The ORF is systematically connected to the SSWJ (South Sumatra-West Java) transmission network at Labuhan Maringgai Station and Lampung offtake station.
“Gas from LNG regasification at FSRU Lampung can be distributed to the West Java distribution and Lampung area,” Sidharta said in a written statement.
With the infrastructure integration system, he said, gas distribution from the Lampung LNG terminal facility to customers can be done for consumers in the distribution network integrated with the SSWJ transmission network or directly connected to the ORF facility. In this case, West Java and Jakarta are already integrated.
Sidharta said gas absorption is currently quite high at 500 to 550 BBTUD and is widely used by industry and commercial as an economic driver, so FSRU has an important role.
Regasification facilities are needed to create supply security, including flexibility, supply reliability and supply continuity. The Merchant Business Model provides flexibility for supply reliability that does not rely solely on pipeline gas supply.
FSRU Lampung contributes to the reliability and sustainability of gas supply. The regasification facility also serves as a supply point in the event of a spike in gas demand or the event of a short or long-term decline in pipeline gas supply sources.
In the event of pipeline gas supply disruptions, LNG can be used to fulfil natural gas demand in Western Java and Jakarta. PGN adopts the “Merchant Business Model” in operating FSRU Lampung. Under this business model, PGN builds and operates the terminal by receiving LNG from suppliers using an LNG Carrier, storing (Storage) and regasifying it for distribution to end users through Gas Sales Agreement (GSA) or Terminal Use Agreement (TUA) contracts.
Supply from FSRU Lampung is also important for gas distribution to power plants. In this case, PLN optimises the distribution of gas from FSRU Lampung LNG through the Terminal Usage Agreement scheme. (Hartatik)
Banner photo: FSRU Lampung workers (Source: PGN)