Malaysia?s IEV to open first CNG plant in Indonesia
Tuesday, July 8 2008 - 12:47 AM WIB
Group chief executive officer Christopher Do said setting up the plant was part of its strategy to provide a ?mobile? gas infrastructure for countries within the region.
?In areas where there is no pipeline, you need alternative means to transport gas. Our plant compresses the gas into CNG and we then provide transportation services to end users who have no access to pipeline gas,? he said in an interview.
Do said the group was targeting end-users from the transport, industrial and power sectors in Indonesia.
?There are more than three million vehicles in Jakarta,? he noted, adding that CNG was a cleaner and cheaper alternative to petrol and diesel.
The plant will be the biggest CNG plant in Indonesia. The launch would be officiated by Vice-President Jusuf Kalla.
Do said investment cost, which includes plant set-up, related infrastructure and providing transportation services, was around about US$10 million.
With a floor size of about 6,000 sq metres, the plant would have a production capacity of 5 million standard cu ft (SCF) per day, which is sufficient to fuel 5,000 taxis, Do said.
He added that IEV had recently signed memoranda of understanding with five Indonesian taxi companies to provide CNG to them for a number of several years.
Do also said that CNG would be a viable option to for many power plants and trains companies in Indonesia, which ran on diesel.
IEV will be setting up two other plants in Jakarta by year-end. (*)