PGN Launches Household Gas Network Project Using CNG Clusters

PT Perusahaan Gas Negara Tbk (PGN) is conducting a pilot project (showcase) for a household gas network using a Compressed Natural Gas (CNG) clustering scheme in Sleman Regency, Yogyakarta.

PGN President Director Arief K. Risdianto stated that the CNG clustering innovation serves as an energy distribution solution that does not require waiting for the completion of main transmission pipeline networks in a region.

“The community does not need to worry about safety, as the high-pressure CNG of approximately 200 bar has been adjusted to the cluster system to flow safely into household kitchens,” he explained in a written statement, quoted on Monday (22/6/2026).

In addition to targeting households, the use of natural gas also provides efficiency benefits for local business actors in Yogyakarta, including the MSME and restaurant sectors. One commercial customer, Rumah Makan Payakumbuah, reported energy cost savings of up to 33% since switching to PGN natural gas, with usage volumes reaching 2,300 m3.

“PGN is committed to ensuring that the benefits of natural gas can be felt fairly and sustainably by all layers of society,” he said.

To date, the Pertamina Gas Subholding has constructed more than 4,500 service connections (SR) in Sleman, supported by a distribution pipeline network spanning 141 kilometres (km). PGN noted that the average natural gas supply to customers in the region has reached 84,000 cubic metres (m3) per month, equivalent to the substitution of 64 metric tons of LPG.

PGN is also synergising the infrastructure of its subsidiary, PT Gagas Energi Indonesia. Currently, the company, through Gagas, operates 14 gas stations (SPBG) and 4 mobile refuelling unit (MRU) units to reach consumers in the transport, commercial, and industrial sectors.

Furthermore, the Deputy Minister of Energy and Mineral Resources (ESDM), Yuliot Tanjung, appreciated PGN’s readiness in providing cleaner transition energy for the community in Sleman Regency. Through the 2026-2029 National Medium-Term Development Plan (RPJMN), the government has targeted the construction of approximately 350,000 household connections (SR) per year to strengthen energy security across various regions.

“The use of CNG and gas networks impacts the efficiency of housewives, being practical and safe. For the Government, it can reduce the consumption of subsidised LPG and reduce the burden of LPG subsidies and imports,” said Yuliot during a field inspection in Sleman, in a written statement, quoted Monday (22/6/2026).