PGAS Promotes 3 Strategic Projects to Reduce 5 Million Tons of Carbon Emissions

Pertamina's Gas Subholding, PT PGN Tbk (PGAS), is committed to strengthening gas supply and expanding natural gas infrastructure as a sustainable energy transition.

PGN said that this commitment also prioritizes low-emission development to support the government's program to achieve carbon neutral 2060.

PGN's Director of Sales and Operations Faris Azis said that his party plans to accelerate the process of transitioning fossil fuels to clean natural gas energy, through several flagship projects.

The first is the regasification program for power plants in most of eastern Indonesia. Based on the Decree of the Minister of Energy and Mineral Resources No. 2 By 2022, power plant regasification will be carried out in 33 locations, with a total generating capacity of 1,198 MW and the use of natural gas at 83.74 BBTUD.

"Through the regasification project, which converts the use of fuel and coal from natural gas to electricity, PGN is optimistic that it will achieve zero net emission. If this regasification can be carried out in full, it will reduce the emission of 650,000 tons of CO² annually. When combined with the Refinary and Jargas projects, the total use of gas can reduce emissions by around 5 million tons of CO² annually," explained Faris Azis, in Jakarta (10/6/2022).

Second, in addition to PLN's power plants, conversion to natural gas is still and will continue through gasification at the refineries located at RU II Dumai, RU III Plaju, RU VI Balongan, RU IV Cilacap, TPPI, GRR Tuban, and RU V. Balikpapan. "Hopefully we can realize these projects that provide multi-benefit, namely gas as clean energy can be present to replace fossil fuel. With a total of 560 BBTUD, the gasification refinery can reduce carbon emissions by up to 4.3 million tons of CO² per year," said Faris.

The third is the use of natural gas in the household sector. Up to now, there have been 750 thousand household gas network connections spread across 17 provinces and 67 cities/districts. PGN has succeeded in presenting energy solutions that are sustainable, clean, and easy to access 24 hours a day.

“With the target of the Government and Business Entity Cooperation (PPP) scheme of 4 million household connections by 2024. One million gas networks for the household sector can reduce carbon emissions by up to 60,000 CO² annually. This program can help the government reduce LPG imports and reduce the cost of energy subsidies,” said Faris.

"PGN is optimistic that the use of natural gas after the COVID-19 pandemic in Indonesia will increase. Natural gas is the cleanest fossil energy and is very appropriate to be used in the energy transition process, "concluded Faris.