Renewable Energy Transition Period, PGN Prepares Gas Conversion

Illustration (Photo: Antara)

JAKARTA - PT Perusahaan Gas Negara (PGN) is committed to taking a role in the transition period for achieving the New Renewable Energy (EBT) target in the energy mix, which is targeted at 23 percent by 2025.

PGN President Director Muhamad Haryo Yunianto said, in the Long-Medium-Term Plan, PGN is trying to make natural gas a clean energy that fills the transition period to NRE.

"Our main portfolio development is in industry, PLN, fertilizer, and households," said Haryo, in an official statement, Wednesday, November 17.

In order to increase the use of natural gas during the NRE transition period, PGN has conducted studies on developing gas distribution in the retail industry, conversion of coal-fired Steam Power Plants (PLTU), mineral processing and refining facilities (smelters) and the water transportation sector.

"In 2022, we will pilot the implementation of the development pattern mentioned," said Haryo.

As Pertamina's Gas Subholding, PGN in the conversion program to natural gas has synergized with Pertamina's Refining and Petrochemical Subholding. By converting fuel oil (BBM) to gas at the refinery

"PGN always synergizes with other Pertamina Subholdings, this is our potential strength," he said. PGN's Director of Strategy and Business Development, Heru Setiawan revealed, currently the refineries that will convert fuel to gas include the Balongan, Cilacap, and Tuban Balikpapan refineries. It is estimated that the total gas consumption for the refinery will reach 350 BBTUD.

"We will prepare for the conversion of oil to gas at the Pertamina refinery, this is to support Pertamina's efficiency, substitution of oil which was previously expensive to gas that is more affordable," he added.