ESDM Signs Contract Of IDR 215.9 Billion, Ready To Build 25,605 SR Jargas Throughout 2022

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JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) signed a contract for the construction of a natural gas network for households in 2022 to build 25,605 House Connections (SR) which will soon be built with an investment value of Rp. 215 billion.

The Director of Planning and Development of Oil and Gas Infrastructure at the Ministry of Energy and Mineral Resources, Noor Arifin Mohamad, explained that there were three packages that were signed which were divided into Packages 1, 2 and 4.

"Package 1 includes Siak Regency, Palalawan Regency and West Tanjung Jabung. Package 2 includes Musi Banyuasin Regency, Muara Enim Regency and East Ogan Komering Ulu Regency. And Package 4 consists of Gresik Regency and Probolinggo City," said Noor Arifin, in his statement. quoted, Wednesday, March 16.

For 2022, the construction of gas lines with the State Revenue and Expenditure Budget (APBN) is planned for 40,777 SRs in 12 regencies/cities. The Directorate General of Oil and Gas itself has carried out a tender or auction which is divided into 5 packages starting on December 9, 2021.

The signing of the gas line construction contract is divided into 3 stages where the first stage is the signing of 3 packages, while the second stage is planned at the end of March 2022, namely Package 3 which includes Indramayu Regency, Semarang City and Wajo Regency. Meanwhile, the signing of the third phase of the contract is expected to be mid-April 2022, namely Package 5 covering Lumajang Regency.

"The contract signing for the PMC Jargas Supervision Consultant will be carried out in 2 stages at the end of March for 4 packages and April 2022 for 1 package," explained Noor Arifin.

The gas line development program has been implemented by the Ministry of Energy and Mineral Resources through the Directorate General of Oil and Gas since 2009 and to date a total of 662,431 SRs have been built. The objectives of the construction of jargas are to provide energy access to the community, save costs on natural gas fuel, help the community's economy towards an independent and environmentally friendly community economy and reduce the burden of fuel and/or LPG subsidies in the household sector.