{
    "success": true,
    "data": {
        "id": 1823601,
        "msgid": "production-decline-blamed-for-rising-industrial-gas-prices-1782385023",
        "date": "2026-06-25 16:38:37",
        "title": "Production Decline Blamed for Rising Industrial Gas Prices",
        "author": "",
        "source": "TEMPO_ID_BISNIS",
        "tags": "",
        "topic": "Energy",
        "summary": "Indonesia's Energy Minister attributes the increase in the industrial gas price (HGBT) to declining domestic production, forcing reliance on more expensive LNG. The government is holding technical meetings with Pertamina to find an ideal pricing formula to prevent industry layoffs, as parliament warns of potential job losses affecting over 50,000 workers.",
        "content": "<p>Minister of Energy and Mineral Resources Bahlil Lahadalia has stated\nthat the increase in the certain natural gas price (HGBT), which has\nreached US$20 per MMBTU, is due to declining production from several gas\nfields in West Java. He explained that the drop in production has forced\nthe supply for industries to be covered using liquefied natural gas\n(LNG), resulting in higher costs compared to using piped gas from\ndomestic fields. \u201cSome of our wells in the regions, especially West\nJava, are experiencing a production decline. To cover this, we use LNG.\nThis LNG is brought from Papua, Sulawesi, Kalimantan, and that incurs\nadditional costs,\u201d Bahlil told reporters after attending the CNBC Energy\nForum in Jakarta on Thursday, June 25, 2026. Bahlil explained that the\nadditional logistics and distribution costs for LNG are the main factors\ndriving up gas prices for several industrial sectors. He claimed the\ngovernment is currently seeking a middle ground to ensure gas supply\nneeds are met without excessively burdening business operators. \u201cThat is\nwhat we are trying to mediate so that the industry is not given a high\nburden,\u201d he said. As a follow-up step, Bahlil admitted to having held a\nseries of meetings with various stakeholders, including industry\nassociations, labour unions, and state-owned gas companies. The\ngovernment is currently discussing a pricing formula deemed ideal so\nthat industries can continue to operate competitively. \u201cI have already\nmet with them, with the associations and the workers. Now I am in\ntechnical meetings with Pertamina to find the ideal figure so our\nindustry can survive,\u201d he said. Meanwhile, Deputy Speaker of the\nIndonesian House of Representatives Sufmi Dasco Ahmad stated that the\nparliament is ready to mitigate reports of potential layoffs affecting\nmore than 50,000 workers at a ceramic factory in Bekasi, West Java.\nDasco made the statement in response to a report from the Chairman of\nthe All-Indonesia Workers Union Confederation, Andi Gani Nena Wea, who\nmentioned that layoffs could occur within 7 to 10 days at one of the\nlargest ceramic factories in Bekasi due to the increase in industrial\ngas prices. To find a solution, Dasco has scheduled a meeting with the\nPresident Director of PT Pertamina and representatives of the affected\nworkers.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/production-decline-blamed-for-rising-industrial-gas-prices-1782385023",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}