JAKARTA - PT Perusahaan Gas Negara Tbk. (PGN) accelerates the development of natural gas infrastructure to support the government's energy self-sufficiency target.
Arief S Handoko, President Director of PGN, remarked that this year's strategic initiative for constructing natural gas infrastructure would follow the holistic integration philosophy. This stage attempts to assure fair infrastructure distribution and improve consumers' natural gas use efficiency.
“By integrating pipe and non-pipe infrastructure, PGN will be more flexible in meeting demand and expanding the market in Indonesia,” said Arief S Handoko on Monday (10/3/2025) evening.
PGN, PT Pertamina's gas subholding, is working to strengthen natural gas connection via the distribution pipeline network in western Indonesia, increasing dependability and access for new consumers.
Some strategic projects that support this include: The Dumai-Sei Mangke Pipeline distributes natural gas from North Sumatra and Aceh to Sumatra's center and southern areas.
Cirebon-Semarang Transmission Pipeline, which will carry surplus gas from East Java to western Java.
The Cilacap Refinery will convert fuel oil (BBM) to gas, while the Tegal-Cilacap Pipeline project will increase access to natural gas on Java Island's southern portion.
“In this 2025, the natural gas network will be a priority with a target of adding 200,000 home connections,” said Arief.
Aside from the pipeline network, PGN is expanding its natural gas infrastructure to include LNG facilities in Indonesia's central and eastern areas to fulfill demand from the smelting and power production industries.
PGN is collaborating with PLN Energi Primer Indonesia (PLN EPI) for a power plant gasification project in North Papua. Arief explained that interconnected infrastructure could be a solution in managing deficits and surpluses in natural gas supply.
“The current challenge is natural decline in western Indonesia, but there is a lot of potential gas supply in eastern Indonesia.LNG infrastructure enables gas distribution to western Indonesia while meeting demand in central and eastern Indonesia,” he said.
As part of strengthening infrastructure, PGN is also carrying out the Arun Hub LNG Tank revitalization project, especially the F-6004 tank, to increase liquefied natural gas (LNG) storage capacity. To date, the revitalization construction progress has reached around 73%.
With many major initiatives now underway, Arief stressed that PGN is prepared to become a strategic partner in achieving national energy self-sufficiency.
Based on data from the Ministry of Energy and Mineral Resources (ESDM), the government has designed a national natural gas transmission and distribution network.
One of the priorities is the construction of a transmission backbone in Sumatra and Java, including the Batang-Cirebon and
Dumai-Sei Mangke transmission pipeline projects.
According to Bisnis, the government in Indonesia's central and eastern regions is also looking at developing non-pipeline options such micro LNG and LNG terminals to assist the gasification program for power plants in archipelagic areas.(*)
