Pertamina's Gas Subholding Provides Natural Gas Energy Alternatives, Completes the CNG Transportation Ecosystem during the Energy Transition Period

Jakarta, February 21, 2023 - PT PGN Tbk, as Pertamina's Gas Subholding, is improving natural gas services to be utilized by transportation as alternative energy that is economical and environmentally friendly during the energy transition period. This effort also complements the Gas Fuel (CNG) ecosystem that PGN is currently planning for the community.

"Pertamina's Gas Subholding is trying to provide an alternative to natural gas energy for transportation tocomplement the existing energy. Fuel oil will still be there. In the future, there will also be EVs. Then the transition from fuel energy to new, renewable energy takes time, that is where Gas Subholding's role is, to fill the transition," said President Director of PT Gagas Energi Indonesia, Muhammad Hardiansyah, in the "BBG Transportation Ecosystem in Indonesia" Talkshow at IIMS 2023, (21/2/2023). 

The Gas Subholding through PT Gagas Energi Indonesia implements the CNG conversion to logistics vehicles, four-wheeled vehicles (conventional & online taxis), three-wheeled vehicles (bajaj), light vehicles or passenger vehicles, and motorcycles. 

CNG is as an alternative energy that is environmentally friendly and economical because the abundant natural gas supply is sourced from inside the country. The CNG can provide fuel cost savings of up to 30%. 

Hardiansyah continued that the CNG price was set by the Ministry of Energy and Mineral Resources, IDR 4,500 per Liter of Premium Equivalent (LSP). "Regardless of where it is filled throughout Indonesia, the price remains the same. Currently, there are 50 CNG filling points, and there will be more because we are trying to activate 34 SPBGs," he explained. 

Currently, one of the initiatives carried out is a pilot project for the CNG conversion for motorcycles. "We are currently running a roadmap. Motorcycles can still use fuel because the system is dual fuel," said Hardiansyah.

Hardiansyah explained that almost all vehicles could be converted to CNG using the Diesel Dual Fuel - DDF system or dual fuels other than diesel (fuel and gas).

Natural gas for motorcycles is stored in two cylinders with a total capacity of 2.5 LSP and is capable of traveling up to 100 KM. Gas cylinders for motorbikes are made of strong and durable steel. The cylinder life can be up to 20 years and has international standard ISO 11439. Thus, natural gas for motorbikes is safe to use.

Similar to gas conversion for logistics vehicles and motorcycles, CNG conversion for four-wheeled passenger vehicles also provides efficiency. In this vehicle, the efficiency obtained is 55% or the equivalent of IDR 30 million per year. Per vehicle unit, the gas consumption volume is 15 liters per day. 

"The CNG conversion that has been carried out is on Pertamina's fuel transport logistic vehicle with a dual fuel system. Cost efficiencies are up to 54 percent, and emission reductions of 20 percent. Installing the converter is done at the SPBG or MRU," explained Hardiansyah.

In terms of composition, natural gas is methane, which has a high octane and low emissions, making CNG emissions a low-emission fuel of up to 20%. It makes the performance more steady, and the vehicle power is greater.

"We have the potential. There are still plenty of natural gas reserves. However, it is maximally utilized for transportation. It is time for Pertamina Oil and Gas Holding through Pertamina Gas Subholding to make a complementary contribution with other alternatives, namely natural gas for transportation," conveyed Hardiansyah.**

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