Founder and Owner of Madura Gas Company (Bagasmara), HRM Khalilur R Abdullah Sahlawiy or Gus Lilur, highlighted the plan to convert energy from Liquefied Petroleum Gas (LPG) to Compressed Natural Gas (CNG) which is being prepared by the government. According to him, this policy is not only a national strategic agenda, but also an important momentum for Madura as a gas producing area.
Gus Lilur menilai konversi LPG ke CNG harus menjadi jalan pemerataan manfaat bagi daerah penghasil energi, khususnya Madura, yang selama ini dinilai belum menikmati hasil optimal dari kekayaan sumber daya alamnya.
"For Indonesia, this is a strategic agenda. But for Madura, this is not only about energy, but about justice and the long history of a resource-rich region whose people are still struggling with poverty," Gus Lilur said in his statement, Wednesday, May 12.
He said that for years, Madura natural gas has been one of the pillars of East Java's energy needs, especially through supplies from the Kangean, Sumenep area. However, according to him, the biggest economic benefits are enjoyed by industrial areas outside Madura.
"Madura gas feeds industrial areas, power plants, and petrochemicals in East Java. However, the Madura community itself has not felt the benefits that are comparable," he said.
Gus Lilur also touched on the existence of the Suramadu Bridge, which was previously expected to accelerate Madura's economic growth. However, in the energy sector, he assessed that the bridge had not had a significant impact because gas distribution was carried out through a direct sea pipeline network to industrial areas in East Java.
According to him, the plan to convert LPG to CNG must be a momentum to correct this inequality. He asked the government to involve the local community and local business actors in the management of the natural gas industry, including in the construction of mother stations or gas stations.
"If the government builds a CNG ecosystem, Madura must be one of its centers. Local governments, BUMD, cooperatives, pesantren, to local entrepreneurs must be given space as the main actors or strategic partners," he said.
He explained that the mother station is an important facility in the distribution of CNG because it serves as a center for gas compression and distribution to various sectors, ranging from households, MSMEs, to small industries and transportation.
Gus Lilur reminded that the development of strategic infrastructure is not only controlled by large business groups. According to him, without the involvement of producing areas, the conversion of LPG to CNG has the potential to repeat the old pattern, namely that resources come from the region, but the added value is concentrated in industrial and capital centers.
"The conversion of LPG to CNG is a major change in the national energy architecture. If done fairly, this policy can reduce energy imports, reduce subsidies, and open new economic centers in gas-producing areas," he said.
On the other hand, he assessed that new inequalities could emerge if the producing areas only became suppliers of raw materials without obtaining adequate economic benefits.
Therefore, Gus Lilur asked the government to include the principle of justice in the design of energy conversion policies, including through the provision of management quotas, partnership rights, and the involvement of BUMD and local entrepreneurs in the CNG business chain.
He also asked that the partnership built not be merely a formality, but provide real access to share ownership, business management, technology transfer, job creation, and human resource capacity building in Madura.
According to Gus Lilur, Madura needs the presence of the state which not only takes the results of natural resources, but also ensures that the benefits return to the local community.
"This is the time for Madura gas not only to illuminate industrial areas outside Madura, but also to bring real benefits to the people of Madura," he said.
On that occasion, Gus Lilur called the conversion of LPG to CNG as the "second energy conversion" in Indonesia. He assessed that the first energy conversion, namely the transition from kerosene to LPG, did provide convenience for the community, but still left dependence on energy imports.
"Now the government is entering a new phase, namely the conversion from LPG to CNG sourced from domestic natural gas. This is a big momentum because it can save foreign exchange and strengthen national energy independence," he said.
However, he emphasized that the policy must be accompanied by the government's commitment to empower people in gas-producing areas such as Madura so that they do not become spectators in the midst of their own natural resources.
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