Jumat, 18 Maret 2016

PGN EXPANDS NETWORK TO INCREASE GAS UTILIZATION EFFICIENCY

 by Andi Abdussalam
          Jakarta, March 18 (Antara) - State-owned gas distributor company PGN has continued to expand its infrastructure network in an effort to increase efficiency and utilize the natural gas produced in the country.
         The state-owned company's infrastructure facilities include the development of a mini-liquefied natural gas (mini-LNG) system, expansion of the gas pipeline network, and increase in the number of household consumer connections.
         PGN President Director Hendi Prio Santoso stated on Wednesday that additional infrastructure such as pipelines, mini-LNG system, and connections to household consumers will increase the utilization of the nation's natural gas to 1,902 million standard cubic feet per day (mmscfd).
        "With that volume, PGN will be able to save Rp110.9 trillion. Last year, through its gas distribution to consumers, PGN was able to save on Rp88.03 trillion," noted Hendi.
         He affirmed that his company will build a mini-LNG system in the eastern regions of Indonesia and increase the number of its gas refueling stations (SPBGs) for land transportation. From now until 2019, PGN plans to build 60 SPBGs.



         The government has also trusted PGN, as it has the required experience in developing and managing natural gas infrastructure, to manage gas networks, which had been built by the Ministry of Energy and Mineral Resources (ESDM).
         The government has assigned PGN to manage 43,337 households in 11 districts/municipalities. Besides this, the PGN is also trusted to install 49 thousand household gas connections, so that the number of the company's household connections will eventually reach 309,300.
         From now until 2019, PGN will provide new gas connections to 110 thousand households.
         "We will add 110 thousand household gas connections in the coming three years without using funds from the stage budget," Santoso remarked. 
   He stated that the gas distribution connections will be built in various regions, with funds coming from the company's internal sources. 
   "This reflects our commitment to distributing good, efficient, clean, and eco-friendly natural gas to the consumers," noted Hendi.

         For this, gas pipelines are to be built to support the supply of gas to household consumers. 
  "The PGN has the 'Sayang Ibu' (Love Mother) program aimed at increasing the number of household consumers using natural gas. Starting this year and until 2019, we will add 110 thousand new gas connections for household consumers," he affirmed.

         PGN is the only gas distributor that supplies gas to 1,529 consumers in various segments of customers ranging from households and large industries to power plants.   
    "PGN also distributes gas to small- and medium-sized businesses and commercial bodies such as hotels, hospitals, and malls whose number now reaches 1,850," remarked Hendi.

          Besides increasing the number of connections to household consumers, PGN is also expanding its gas pipeline network.
         In 2015, PGN also completed the Kalimantan-Java I (Kalija I) open access pipeline transmission network, with a total length of 200 kilometer (km).
        The Kalija gas pipelines connect the Kepodang gas field in the North of Central Java with the Tambak Lorok Power Plant of the state-owned electricity company PLN in Semarang.
         PGN has built an 825-km-long gas pipeline network in 2015, according to its President Director Hendi Prio Santoso.
         Santoso stated on Monday that the additional pipelines comprising transmission lines will open up access and expand PGN's gas pipeline distribution network to 6,986 km.
         "At the end of 2014, the total length of PGN's pipelines was 6,161 km. By the end of 2015, it had reached 6,986 km. The pipeline network accounted for 76 percent of the national gas pipelines," Hendi pointed out.
         Hendi said his company would continue to accelerate the development of its gas pipeline network in an effort to expand the utilization of the nation's gas production.
         The PGN president director noted that several gas pipeline projects had been built in 2015, including network expansion in Jakarta, Bekasi, Cirebon, Pasuruan, Surabaya, Sidoarjo, Semarang, Medan, and Batam, with a total length of 500 km.
          During the 2016-2019 period, PGN will increase its gas pipeline transmission and distribution network by 1,680 km. The network will include the Duri-Dumai-Medan open access transmission, the Muara Bekasi-Semarang open access transmission, and the Batam (Nagoya)-WNTS-Pemping distribution pipe network.
        "With an additional 1,680 km, the length of the PGN gas pipeline network, currently recorded at 6,986 km, will increase to 8,666 km. This will increase PGN's capacity to distribute 1,902 mmscfd of gas," Hendi added.
          Meanwhile, the company's secretary, Heri Yusup, remarked that PGN had registered a net profit of US$401.19 million in 2015.
          He noted in a written statement received on Thursday that PGN had recorded a net income of US$3.07 billion in the year, with a corporate profit of US$565.49 million and earnings before interest, taxes, depreciation, and amortization of US$941.08 million.
         "To optimize the company's performance, we have adopted various measures to increase efficiency, and so, we are able to make a profit in the midst of the economic slowdown," he explained.
          From January to December 2015, PGN supplied 1,591 mmscfd comprising 802 mmscfd in distribution and 789 mmscfd in transmission.***3***a014/INE)EDITED BY INE
(T.A014/A/BESSR/F. Assegaf) 18-03-2016 13:58:5

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