Having A Number Of Strategic Projects, PGN Builds Infrastructure Pipes To LNG Terminals

JAKARTA - PT Perusahaan Gas Negara Tbk (PGN) affirms its commitment as the backbone of national energy security. As Pertamina's Gas Subholding, PGN has managed 95 percent of natural gas downstream infrastructure.

PGN is not just a gas trading company. We are a strategic partner of the Government to ensure clean and affordable energy reaches all levels of society," said Ratih Esti Prihatini, Director of Commercial PGN, in the Energy Corner program quoted on Tuesday, July 15.

He added that PGN is accelerating the construction of pipelines and LNG infrastructure as the backbone of national energy. Strategic projects such as the Javanese cross-Sumatra transmission pipeline, the Arun LNG Terminal, to the revitalization of FSRU and storage tanks are the keys to answer supply mismatches and gas demand, especially between the high consumption of eastern and western areas.

PGN also expressed appreciation for the Government's trust and support, including in the provision of domestic gas allocation and regulatory support that allows PGN to carry out its strategic mandate optimally. This support is an important foundation for the sustainability of natural gas prices and affordability for the community and industry.

PGN is also actively exploring prospective contracts with domestic gas producers, including Inpex Masela and Mubadala-Kamanaman, to ensure the reliability of long-term supply. On the price side, PGN continues to strive to maintain affordability with supply portfolio strategies, infrastructure efficiency, and price formulations that adjust customer purchasing power.

We understand that affordability is a crucial issue. Therefore, we developed beyond pipeline solutions such as LNG trucking and natural gas products that are tailored to the needs of each customer segment," he explained.

The Jargas program as a National Strategic Project is also a focus. PGN targets the addition of 100,000 household connections by 2025. More than just energy efficiency, this program also creates a new economic ecosystem in the regions, opening up opportunities for MSMEs and small customers along pipelines.

PGN has allocated a capital expenditure (capex) of USD 338 million this year, of which 67 percent are allocated to strengthen downstream infrastructure, including strategic infrastructure development. The 2025 gas trading volume projection is targeted to grow by 12 percent in line with the increase in demand from industrial estates and power plants.

We believe that reliable and affordable energy is the foundation of economic progress. PGN will continue to be present at the forefront, encouraging greener, more resilient, and sustainable growth. We are also grateful for the synergy and direction of the Government which allows us to carry out this role optimally," concluded Ratih.