Gas producers must prioritize domestic market

The government plans to evaluate several gas contracts, which are due to expire, in order to meet the future domestic demand for gas.

?Local gas producers need to focus on domestic supply, rather than looking to extend their contracts with foreign companies,? Minister of State Owned Enterprises` Mustafa Abubakar told reporters Friday as quoted by The Jakarta Post.

He pressed gas companies to display their commitment to meeting domestic needs, which are predicted to skyrocket.

According to Mustafa, the domestic demand for gas had increased significantly, particularly for several add-on gas- and coal-fired power plants that belonged to state-owned electricity monopoly PT PLN and several state fertilizer companies.

?Due to the electricity crisis and the growth of the economy, the domestic gas demand will rise,? Mustafa said. (*)