{
    "success": true,
    "data": {
        "id": 1721477,
        "msgid": "get-ready-lpg-replacement-to-circulate-this-year-this-city-becomes-priority-1778191004",
        "date": "2026-05-06 15:05:05",
        "title": "Get Ready: LPG Replacement to Circulate This Year, This City Becomes Priority",
        "author": "",
        "source": "CNBC",
        "tags": "",
        "topic": "Energy",
        "summary": "The Indonesian Ministry of Energy and Mineral Resources is targeting the distribution of Compressed Natural Gas (CNG) as an alternative to Liquefied Petroleum Gas (LPG) for public consumption starting this year, with a focus on major cities in Java to test distribution effectiveness. This initiative aims to reduce the growing burden of LPG subsidies by up to 30%, leveraging domestic natural gas resources to enhance energy self-sufficiency and avoid international market fluctuations. Safety is prioritised through advanced composite fibre Type 4 cylinders, while companies like PT Gagas Energi Indonesia are prepared to support the rollout using existing infrastructure.",
        "content": "<p>Jakarta, CNBC Indonesia - The Ministry of Energy and Mineral\nResources (ESDM) is targeting the distribution of compressed natural gas\nor Compressed Natural Gas (CNG) as an alternative replacement for\nLiquefied Petroleum Gas (LPG) to begin being consumed by the public this\nyear. The main focus as the initial market target for distribution is\nurban areas, particularly on the island of Java. The Director General of\nOil and Natural Gas (Dirjen Migas) of the Ministry of ESDM, Laode\nSulaeman, explained that the government is currently refining the\ndistribution model and the readiness of field infrastructure. According\nto him, CNG is being utilised to reduce the burden of LPG subsidies,\nwhich continue to swell each year along with the growth in household gas\nconsumption. \u201cIt is targeted that this year it can be consumed by the\npublic,\u201d he said during an energy discussion event held by ASPEBINDO in\nJakarta, quoted on Wednesday (6\/5\/2026). The implementation plan for the\nuse of compressed natural gas is confirmed not to target all regions of\nIndonesia simultaneously. In the initial phase, distribution will be\nprioritised for major cities on Java to test the effectiveness of the\ndistribution simulation before being expanded to other areas. \u201cGradually\nin major cities first in Java. The roadmap is that we have one because\nthis has not been announced by the Minister, but the main point is that\nin the future we will reduce our LPG, we will replace it with CNG,\u201d\nLaode explained. The use of CNG is projected to provide savings in\nsubsidy costs of up to 30% because the gas source comes entirely from\ndomestic oil and gas fields. In addition to foreign exchange efficiency,\nthe government ensures that safety aspects are the top priority by\npreparing Type 4 cylinders made of composite fibre material, which is\nclaimed to be lighter and stronger. \u201cResearch for us using CNG has been\ngoing on for quite a long time and there are two important components in\nthe cylinder and valve parts that require technology, which finally\ntoday has been found and can be implemented,\u201d he stated. On the other\nhand, gas management business entities have also expressed their\nreadiness to support the policy to accelerate energy conversion. PT\nGagas Energi Indonesia is committed to optimising existing gas filling\ninfrastructure to ensure smooth supply to end consumers. \u201cIn terms of\ninfrastructure, in principle, we are ready to support all directions of\ngovernment policy. Coincidentally, Gagas is a subsidiary of PGN\nspecifically for beyond pipeline,\u201d said the Director of Operations and\nCommercial of PT Gagas Energi Indonesia, Maisalina, on the same\noccasion. The initiative to shift from LPG to CNG is the government\u2019s\neffort to strengthen national energy self-sufficiency. By utilising the\nabundant natural gas reserves in the country, the government hopes that\nthe stability of energy supply for the public can be maintained without\nbeing burdened by international market price fluctuations.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/get-ready-lpg-replacement-to-circulate-this-year-this-city-becomes-priority-1778191004",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}