Ensure Sufficient Natural Gas For Industry, Head Of BPH: The Challenge Is Contract Expiration Next Year

Downstream Oil and Gas Regulatory Agency (BPH Migas). (BPH Migas Doc)

JAKARTA - The Downstream Oil and Gas Regulatory Agency (BPH Migas) made a field visit to the PT Transportation Gas Indonesia (PT TGI) facility in the Regional Office IV Batam to ensure the adequacy and smooth distribution of industrial gas distribution in the Batam, Riau Islands and Singapore areas.

"With this field visit, we can see the business process of natural gas distribution to meet industrial needs in Batam, Riau Islands and Singapore. And take an inventory of the obstacles that occur in the field, so that services to stakeholders remain optimal," said Head of BPH Migas, Erika Retnowati in a statement to the media, Monday 23 May.

PT TGI Business Development Director Vinolia Suriyanto explained that the transportation of gas through the TGI pipeline on the Grissik-Singapore segment is for the needs of electricity, industry and household gas networks in the Musi Banyuasin and Batam areas to Singapore with a total contracted volume of 345 mmscfd for gas transportation. in 2022 from a pipe capacity of 465 mmscfd.

Meanwhile, to serve customers in the South Sumatra and Central Sumatra areas for the needs of oil lifting, electricity, industry, and household gas networks, gas is transported through the TGI pipeline on the Grissik-Duri section with a total contracted volume of 319 mmscfd for gas transportation in 2022 from capacity pipe 427 mmscfd.

"We continue to strive to be a prudent pipeline operator, operating and maintaining our pipelines and facilities carefully by complying with applicable regulations and standards," continued Vinolia.

During the visit, he also conveyed the challenges faced, namely the continuation of gas transportation to Singapore via the Grissik-Singapore pipeline whose contract will expire next year.

Erika said that coordination with the Ministry of Energy and Mineral Resources and related agencies is needed to be able to produce appropriate government policies both to meet domestic gas needs and to optimize state revenues from continuing gas transportation to Singapore via the TGI pipeline.

"We must immediately consolidate with the Ministry of Energy and Mineral Resources and SKK Migas for contracts ending in 2023, so that the gas needs of industry, electricity, and the community can still be met," concluded Erika.

The field visit and sharing session of BPH Migas and PT TGI were attended by Head of BPH Migas Erika Retnowati, BPH Migas Committee Abdul Halim, Basuki Trikora Putra, Eman Salman Arif, Iwan Prasetya Adhi, Harya Adityawarman, Saleh Abdurrahman, Wahyudi Anas and Yapit Sapta Putra, Director Natural Gas Sentot Harijadi, and received by the President Director of PT TGI, the Director of Business Development of PT TGI, Vinolia Suriyanto, and the Director of Finance and Administration of PT TGI, Sahat P Simarmata.