Indonesian Political, Business & Finance News

Bahlil Proposes CNG as Alternative to Replace LPG

| Source: CNBC Translated from Indonesian | Energy
Bahlil Proposes CNG as Alternative to Replace LPG
Image: CNBC

Jakarta, CNBC Indonesia - The Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has emphasised that his ministry is continuously seeking alternatives to replace Liquefied Petroleum Gas (LPG). One such option is the use of Compressed Natural Gas (CNG). Bahlil stressed that Indonesia’s LPG needs are still supported by imports amounting to 75% to 80%. Of this, 7 to 8 million tonnes are used for household purposes. The issue arises when political upheavals, such as those currently occurring, also require certainty in LPG imports. “Therefore, we are formulating other alternatives. CNG is one of them. CNG is already used by hotels, restaurants, and MBG; it exists, but in classifications of 20 kilograms and above, or 10-10 kilograms and above,” explained Bahlil when met at the State Palace on Tuesday (5/5/2026). Currently, his side is testing the introduction of CNG in smaller sizes, or 3 kilograms. It is estimated that the trial can be completed within 2-3 months. “In 2-3 months, we will get the results, and if it is declared firm, we will carry out the conversion. Why? Because CNG’s raw materials are all available domestically: C1, C2 gas,” stated Bahlil.

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