Indonesian Political, Business & Finance News

Energy Ministry to Trial 3 kg CNG Cylinders in West Java Starting August 2026

| Source: CNBC Translated from Indonesian | Energy
Energy Ministry to Trial 3 kg CNG Cylinders in West Java Starting August 2026
Image: CNBC

The Ministry of Energy and Mineral Resources (ESDM) has scheduled a trial of 3 kilogramme Compressed Natural Gas (CNG) cylinders to replace subsidised 3 kg Liquefied Petroleum Gas (LPG) canisters, set to commence in August 2026. The first trial will be conducted in the West Java region.

Director General of Oil and Gas at the ESDM Ministry, Laode Sualeman, disclosed that CNG cylinder samples will first be tested by the Oil and Gas Testing Centre (Lemigas) before being distributed to the public. “God willing, by the end of July the samples of these cylinders will be completed and we will send them to Lemigas for testing, then we will also plan how to begin introducing them to the public,” he said on the sidelines of the Global Hydrogen Ecosystem Summit and Exhibition (GHES) 2026 in Jakarta, Tuesday.

The initial trial phase will focus on major cities to gauge infrastructure readiness and public response. “The trial will be in major cities first, perhaps one of them is in West Java to start with,” Laode added. However, the government has not yet set a definitive number of cylinders to be marketed as the process is still in the technical testing phase. Beyond safety, the ministry is also formulating a distribution scheme, whether the cylinders will be distributed free of charge or through a specific market mechanism. “We are not talking about numbers yet. What is important now is first, safety, and second, the mechanism for preparing this for the public. Just that for now,” he added.

The testing is expected to facilitate the utilisation of domestic resources to reduce dependence on LPG imports, which currently dominate the market. “We are still discussing what the scheme will look like. But the trial is next month. God willing,” he concluded.

Separately, ESDM Minister Bahlil Lahadalia confirmed that technological testing of the CNG cylinders is still ongoing in China. He stated that the government has prepared a cooperation plan with state-owned enterprise PT Pindad to support the gas infrastructure needs and manufacturing of the gas cylinders. “The CNG testing is still ongoing, it hasn’t finished yet. It’s still in China, testing is still being carried out in China, after that we will cooperate with the state-owned company here,” Bahlil revealed at the GHES 2026 event in Jakarta.

The cooperation with PT Pindad will later focus on the manufacturing side once the entire inspection series in China is complete. Bahlil stressed that the government does not want to rush and will first ensure the technology’s suitability before implementing it widely. “We will proceed with Pindad later, but we are still checking there first. Once it’s finished, then we will take further action,” he continued.

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