U.S. grants $487,000 to RI gas company

JAKARTA: The U.S. Trade and Development Agency (USTDA) has awarded a US$487,000 grant to state gas distributor PT Perusahaan Gas Negara to further develop the use of clean energy.

"This assistance is in terms of how you get gas around to people who are not near the pipeline, which can affect every Indonesian household over time," U.S. Ambassador to Indonesia B. Lynn Pascoe said on Monday.

The funds will be used to conduct studies on compressed natural gas (CNG) and small liquefied natural gas (LNG) plants.

Lack of infrastructure has limited the use of gas in Indonesia. To diversify energy and suppress consumption amid the soaring global prices, the government plans to accelerate the construction of pipeline connecting gas-rich Kalimantan and Sumatra to densely-populated Java. -- JP