Jakarta - Indonesia needs investments of US $ 70-80 billion for the construction of gas infrastructure as a whole to meet domestic energy needs continue to grow around 4-5% per year.
Indonesia Gas Society Chairman who is also the Acting Director of Pertamina, Yenni Andayani, said the growing domestic energy needs is due to the growing population of middle class and increasing gross domestic product (GDP). The growth rate is much higher than the growth in global energy consumption.
Approximately 15% of energy needs will be supplied with gas, while the rest is supplied by petroleum, coal and others. Indonesia is a country endowed with sufficient resources abundant gas.
Since the 1970s, has become one of Pertamina LNG exporter in the world and is involved in the construction of infrastructure such as LNG world class LNG facilities in Arun, Bontang, and Donggi Senoro. In addition, Pertamina also has a network of gas transmission and distribution pipelines and gas fields as large as Mahakam and Corridor.
The role of natural gas for Indonesia's economic future will be quite prominent is primarily driven by growth in demand for gas from power plants PT PLN (Persero) for a total capacity of approximately 14,000 MW which is part of the program of 35,000 MW and the project Refinery Development Master Plan (RDMP) at four refineries and two New Grass Root Refinery (NGRR) owned by Pertamina. In addition, growth will also be supported by additional capacity fertilizer plant and the transport sector.
"These projects make gas demand is increasing and the next challenge is an effort that must be done to fulfill the request from upstream to downstream. Indonesia needs new investment to explore and develop sources of new gas and building gas infrastructure which will deliver it to the final consumer, "Yenni said in the opening of the International Indonesia Gas Conference & Exhibition 2017, Tuesday (07/02/2017).
Based on his calculations, to build gas infrastructure thoroughly Indonesia require new investments of about US $ 70-80 billion by 2030. In addition to supporting efforts to fulfill the domestic gas, the new investment also means creating thousands of jobs, fueling the growth of the industry, and also spur the growth of GDP Indonesia ,
"Investing in gas infrastructure is a long-term investment for 30 years and to become an investment destination, Indonesia to compete with other countries. Therefore, we need good coordination of all stakeholders, incentives, competitive prices, and ensure the investment climate in the country good, "he explained.
Pertamina, said Yenni, as a pioneer of gas and LNG business on a global scale has made efforts to develop gas infrastructure in the entire gas value chain. Pertamina continuously develop upstream gas, setting the Mahakam block revitalization plan, build FSRU (Floating Storage Regasification Unit), developed a gas pipeline, and has secured LNG supply from within and outside the country. Pertamina is ready to become an agent to stimulate the growth of infrastructure and consumption of gas in Indonesia.
Signing of Gas Sales Contract
At the same time, Pertamina signed a gas sales agreement (GSA) for the supply of fuels Gas Filling Station (SPBGs) and Domestic Gas Networks government assignment to Pertamina Balikpapan. The gas supply comes from fields suppliers, namely Chevron Indonesia Company with a volume of 1.5 MMSCFD in force until 2018.
The signing was done by Pertamina Gas Natural VP Commercial, Wiko Migantoro and Chevron Indonesia, John White and witnessed by Vice Minister, Arcandra Tahar.
From the supply, 1 MMSCFD reserved for SPBGs Mother Station Rapak Balikpapan and 0.5 MMSCFD intended for domestic gas network in Balikpapan. There are around 3,849 household connections that will get gas supply from the network operated by PT Pertagas Commerce. (*)
Approximately 15% of energy needs will be supplied with gas, while the rest is supplied by petroleum, coal and others. Indonesia is a country endowed with sufficient resources abundant gas.
Since the 1970s, has become one of Pertamina LNG exporter in the world and is involved in the construction of infrastructure such as LNG world class LNG facilities in Arun, Bontang, and Donggi Senoro. In addition, Pertamina also has a network of gas transmission and distribution pipelines and gas fields as large as Mahakam and Corridor.
The role of natural gas for Indonesia's economic future will be quite prominent is primarily driven by growth in demand for gas from power plants PT PLN (Persero) for a total capacity of approximately 14,000 MW which is part of the program of 35,000 MW and the project Refinery Development Master Plan (RDMP) at four refineries and two New Grass Root Refinery (NGRR) owned by Pertamina. In addition, growth will also be supported by additional capacity fertilizer plant and the transport sector.
"These projects make gas demand is increasing and the next challenge is an effort that must be done to fulfill the request from upstream to downstream. Indonesia needs new investment to explore and develop sources of new gas and building gas infrastructure which will deliver it to the final consumer, "Yenni said in the opening of the International Indonesia Gas Conference & Exhibition 2017, Tuesday (07/02/2017).
Based on his calculations, to build gas infrastructure thoroughly Indonesia require new investments of about US $ 70-80 billion by 2030. In addition to supporting efforts to fulfill the domestic gas, the new investment also means creating thousands of jobs, fueling the growth of the industry, and also spur the growth of GDP Indonesia ,
"Investing in gas infrastructure is a long-term investment for 30 years and to become an investment destination, Indonesia to compete with other countries. Therefore, we need good coordination of all stakeholders, incentives, competitive prices, and ensure the investment climate in the country good, "he explained.
Pertamina, said Yenni, as a pioneer of gas and LNG business on a global scale has made efforts to develop gas infrastructure in the entire gas value chain. Pertamina continuously develop upstream gas, setting the Mahakam block revitalization plan, build FSRU (Floating Storage Regasification Unit), developed a gas pipeline, and has secured LNG supply from within and outside the country. Pertamina is ready to become an agent to stimulate the growth of infrastructure and consumption of gas in Indonesia.
Signing of Gas Sales Contract
At the same time, Pertamina signed a gas sales agreement (GSA) for the supply of fuels Gas Filling Station (SPBGs) and Domestic Gas Networks government assignment to Pertamina Balikpapan. The gas supply comes from fields suppliers, namely Chevron Indonesia Company with a volume of 1.5 MMSCFD in force until 2018.
The signing was done by Pertamina Gas Natural VP Commercial, Wiko Migantoro and Chevron Indonesia, John White and witnessed by Vice Minister, Arcandra Tahar.
From the supply, 1 MMSCFD reserved for SPBGs Mother Station Rapak Balikpapan and 0.5 MMSCFD intended for domestic gas network in Balikpapan. There are around 3,849 household connections that will get gas supply from the network operated by PT Pertagas Commerce. (*)
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