JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) has started the construction of the Cirebon-Semarang (Cisem) Gas Transmission Pipeline phase I for the Semarang-Batang section, marked by the inauguration of the first welding of the construction work.
The availability of natural gas transmission pipelines on this segment is projected to provide a multiplier effect in the form of growth in the household, commercial, and transportation sectors.
"The availability of the Cirebon-Semarang transmission pipeline is also expected to be able to grow the economy of other sectors, namely the household, commercial and transportation sectors through the natural gas distribution network," said Director of Planning and Development of Oil and Gas Infrastructure Noor Arifin Muhammad in his official statement, Monday, August 8.
Noor said the Cisem transmission pipeline construction project was initiated in the first phase of construction, namely for the Semarang-Batang section and was implemented through a multi-year contract using APBN funds for Fiscal Year 2022 and Fiscal Year 2023.
Expert Staff of the Minister of Energy and Mineral Resources for Integration, Coordination, and Interface of Oil and Gas, Nanang Untung, revealed that the government has strategic plans to integrate upstream, mid-stream and downstream in order to increase domestic gas consumption, including developing new natural gas markets, one of which is the construction of the Cirebon pipeline. - Semarang.
"Natural gas supply will be transmitted flexibly through the Cirebon-Semarang Pipeline so that it can support the fulfillment of gas needs from East Java to West Java or vice versa. This pipeline is expected to provide an opportunity for companies to develop new gas markets in the Central Java area and utilize natural gas to more massive and aggressive economic support activities," said Nanang.
On the same occasion, Secretary General of Oil and Gas as Budget User Authority (KPA) Setyorini Tri Hutami reiterated the government's commitment to carry out the Cisem pipeline project in an orderly manner in accordance with applicable laws and regulations, including avoiding KKN.
"The Ministry of Energy and Mineral Resources is committed to implementing this in accordance with applicable laws and regulations and observing that there is no underpayment that will harm business entities, or overpayment that can harm the state. If it is not accurate, it will hamper the implementation of the following year. While we know, the state budget is very limited," said Setyorini.
The Semarang City Government welcomes the construction of the Cisem pipeline and hopes that it will benefit the community.
"Semarang City feels very lucky because it is passed by a regional gas pipeline network from Gresik to Cirebon. So that it is easier for Semarang to get gas allocations. We hope that the construction of the Semarang-Cirebon pipeline will be beneficial for us," said the Mayor of Semarang in his written remarks represented by the Head of Bappeda. Budi Prakosa.
For information, the Cisem Project is a National Strategic Project (PSN) and part of the transmission pipeline interconnection plan between the transmission pipelines of Sumatra, West Java and the transmission pipelines of East Java.
This pipeline interconnection strengthens the supply chain of natural gas supply and is accessible to the public at affordable prices in a sustainable manner, especially for the needs of the existing industrial sector along the pipeline and industrial areas that will soon operate in several areas, namely, Batang Integrated Industrial Estate, Economic Zone Specifically for Kendal and the Wijayakusuma Industrial Estate, Semarang in Central Java, as well as other industrial areas that are in the planning process.
Based on the results of the provider selection tender conducted by the UKPBJ Ministry of Energy and Mineral Resources, PT PP (Persero) in collaboration with PT Elnusa Tbk (KSO PP Elnusa) was the winner of the phase I CISEM pipeline construction tender.
The signing of the contract was carried out on May 17, 2022 with financing through the State Budget for the Fiscal Years of 2022 and 2023, in which the work was carried out for 15 months.
This transmission pipe has a pipe diameter of 20 inches to transmit natural gas with a capacity of 116-235 MMSCFD for about 62 km from the ESDM Semarang Station in Tambakrejo, through the national road in the north of Semarang City to the Krapyak Toll Gate and through the Semarang-Batang Toll Road, to the Semarang-Batang Toll Station. ESDM Rod.
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