Indonesian Political, Business & Finance News

PGN Gagas Initiative Supports Expansion of National Energy Mix Through CNG

| | Source: REPUBLIKA Translated from Indonesian | Energy
PGN Gagas Initiative Supports Expansion of National Energy Mix Through CNG
Image: REPUBLIKA

PT Gagas Energi Indonesia (PGN Gagas), a subsidiary of PT Perusahaan Gas Negara (Persero) Tbk (PGN), has positively welcomed the Ministry of Energy and Mineral Resources (ESDM)’s ongoing comprehensive study on the utilisation of Compressed Natural Gas (CNG) as part of the national energy mix. For Gagas, this process represents an important momentum to expand measured and sustainable options for utilising domestic natural gas-based energy.

PGN Gagas’ President Director, Santiaji Gunawan, stated that CNG development should be positioned as part of efforts to enrich energy choices, in line with the government’s policy direction.

“We see this not as replacing one energy source with another, but rather expanding choices. Society and business actors need access to diverse, reliable, affordable energy sources based on domestic resources. CNG is one available energy option that can be continuously developed gradually in accordance with the government’s policy direction,” said Santiaji.

For more than a decade, PGN Gagas has provided CNG as an energy solution for industrial, commercial, SME, and transportation segments. In 2025, PGN Gagas supplied around 4,656,449 MMBTU of natural gas through CNG and LNG (Liquefied Natural Gas) services for these various segments.

From an infrastructure perspective, PGN Gagas currently operates 14 Natural Gas Fuelling Stations (SPBG) in seven provinces, with an average of about 2,200 vehicles filled daily for the Gasku service. Meanwhile, the Gaslink service for industrial, commercial, and SME segments has served more than 600 customers with a total supply of 4,067,002 MMBTU throughout 2025.

With support from gas compression facilities, a fleet of Gas Transport Modules (GTM), and various other supporting infrastructure, PGN Gagas has an operational foundation to support the gradual development of CNG utilisation. This development will continue to be aligned with the government’s policy direction, including considerations of economic aspects, infrastructure readiness, and market needs.

The supply of natural gas as raw material for CNG is also integrated with PGN’s infrastructure network, thereby supporting the optimal utilisation of domestic energy resources.

PGN Gagas emphasises that the presence of CNG is part of the national energy ecosystem that complements each other. As part of Pertamina’s Gas Subholding, PGN Gagas is committed to growing together—not competing—with various other types of energy, according to the needs and characteristics of each user segment.

“The more diverse energy choices available, the stronger our national energy resilience as a nation. CNG emerges as one option that complements existing energy within the framework of the national energy mix,” added Santiaji.

PGN Gagas also expressed readiness to actively collaborate with the Ministry of ESDM and stakeholders in the ongoing study and policy development process, including technical aspects, distribution, and education related to CNG utilisation.

“We are ready to contribute optimally as a government partner, in accordance with the established needs and policy direction, to support the realisation of national energy independence and resilience,” concluded Santiaji.

View JSON | Print