Indonesian Political, Business & Finance News

Bahlil: CNG has potential to replace 3-kilogram LPG cylinders

| Source: ANTARA_ID Translated from Indonesian | Energy
Bahlil: CNG has potential to replace 3-kilogram LPG cylinders
Image: ANTARA_ID

Jakarta (ANTARA) - Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia stated that the government is examining the use of Compressed Natural Gas (CNG) as an alternative replacement for 3-kilogram LPG cylinders to reduce dependence on energy imports.

After attending a limited meeting at the Presidential Palace Complex in Jakarta on Tuesday, Bahlil explained that CNG is not a new technology, as it has already been used in the hospitality sector, restaurants, and the Free Nutritious Meal (MBG) programme. However, its utilisation so far has been limited to large-capacity cylinders of 10 to 20 kilograms or more.

The government is currently conducting trials to develop small-sized CNG cylinders equivalent to 3-kilogram LPG. He noted that the main challenge lies in the technical aspects, as the pressure of CNG gas is much higher, around 200 to 250 bar.

“For the 3-kilogram size, the cylinders are still in the testing phase because the pressure is quite high. In the next two to three months, we hope to have results,” said Bahlil.

According to Bahlil, CNG has advantages because all its raw materials are available domestically, including abundant natural gas sources. Additionally, the government has discovered new gas reserves in East Kalimantan that could potentially be allocated for domestic needs.

Regarding the subsidy scheme, he continued, the government is still conducting a comprehensive review. The option of providing subsidies remains open, but the mechanism and volume are still under discussion.

“Everything is still being studied, including the possibility of subsidies and their volume,” he stated.

He emphasised that the use of CNG on a large scale has already been implemented in several regions, particularly on Java Island, so technologically, it is deemed ready to be developed more widely as a national energy solution that is more independent and efficient.

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