Accelerate Natural Gas Network Development In Central Java And DIY, PGN Synergizes With Regional Governments

PT PGN Tbk, held an audience with the Yogyakarta City Government, DIY, to accelerate the construction of gas lines in the area. ANTARA/HO-PGN

YOGYAKARTA - PT PGN Tbk, as Subholding Gas of PT Pertamina (Persero), held hearings with a number of regional heads in the southern part of Central Java Province and the Special Region of Yogyakarta (DIY) to accelerate the development of natural gas networks (jargas) in the region.

The hearing was held with the Mayor of Yogyakarta, the Regent of Kebumen, the Regent of Kulon Progo, the Regent of Sleman, the Regent of Bantul, the Regent of Purworejo, and the Regent of Gunung Kidul.

"We need to synergize with the second-level regional government in order to accelerate the development of the natural gas network. The synergy includes aligning the gas and gas program with the development of existing regional facilities and infrastructure," said PGN President Director M Haryo Yunianto in a statement in Jakarta, reported by Antara, Tuesday, February 15th.

Apart from that, according to him, support is also related to policies and facilities for supporting gas infrastructure for the success of regional and national energy mix programs.

"The government's target is to achieve four million household line connections in 2024-2025," added Haryo.

Other synergies with local governments, he continued, are also needed in order to socialize the use of natural gas to the local community, so that they are more familiar with environmentally friendly energy.

Utilization of natural gas has the advantages of being more practical, safer, more environmentally friendly, and its availability is more guaranteed.

"We cannot walk alone in the success of this gas network program. We need synergies, including with BUMN, BUMD or perusda in the operation and maintenance of gas gas," added Haryo.

The construction of one million household gas connections per year has the potential to absorb thousands of workers, reduce LPG imports, utilize TKDN by up to 70 percent, and support economic growth.

Currently, the southern part of Central Java and DIY have not yet passed the natural gas distribution pipeline.

Even so, the potential for utilization is quite good, in which the southern region of Java also has several potential gas sources which, if utilized optimally, can increase economic growth and its multiplier effect for the region. Therefore, PGN requires a logistics transportation scheme to carry gas to utilized for the local community, one of which uses the train.

"For the gas infrastructure development scheme, it will be combined, both in the pipeline and beyond the pipeline using liquified natural gas (LNG) and compressed natural gas (CNG), thus facilitating the transportation and supply chain of natural gas. We are collaborating with PT KAI to carry LNG cargo by train," said Haryo.

The construction of household jargas also has the potential to absorb partners and local workers whose benefits are that the economic cycle can run and can help increase local revenue.

Haryo said that the development of household jargas in the regions is expected to create some value creation for the surrounding area and become an attraction for investors to build industrial estates.