Bahlil Reveals Reasons CNG Is an Alternative to LPG

Minister of Energy and Mineral Resources Bahlil Lahadalia has disclosed the reasoning behind the plan to use Compressed Natural Gas (CNG) as an alternative to Liquefied Petroleum Gas (LPG). One of the main reasons is the availability of gas feedstock in Indonesia. Bahlil initially explained that Indonesia still imports 80% of its total LPG requirement. This is because C3 and C4 gas types are not widely available domestically, whereas C1 and C2 types are far more abundant. “That is why we are now pushing CNG. CNG uses C1 and C2 gas, which is plentiful in Indonesia. We recently discovered a giant find at ENI in East Kalimantan of 5 TCF plus 2 TCF, with condensate of around 200,000 barrels equivalent. By 2028-2029, production could reach 3,000 Mmscfd,” Bahlil stated at the CNBC Indonesia Energy Forum on Thursday. He further explained that the government is currently entering the third phase of trials for the use of CNG in 3-kilogram cylinders. Meanwhile, 12-kilogram and 50-kilogram CNG cylinders have already been used in the commercial sector, such as in kitchens for the Free Nutritious Meals programme, hotels, and restaurants. He stressed that CNG is not a new technology, as it has long been applied in various sectors. The government is now developing its use for household needs. “This is not something new that suddenly appeared from Fakfak, no. It has existed for a while. But for the common people who receive subsidies, they must use the 3-kilogram cylinder. The pressure is 200 to 250 bar. This is what we are currently trialling,” he said.