MoU on gas for transportation signed
Monday, April 23 2012 - 06:29 AM WIB
The Energy and Mineral Resources Ministry and several regional administrations signed Monday a momorandum of understanding on natural gas for transportation, which aims to accelerate the conversion program from oil-based fuels to gas in the sector.
Witnessed by the Energy and Mineral Resources Minister Jero Wacik, the signing should ensure the supply of gas amounting to 35.5 mmscfd from a number of suppliers in respective administrations (see table), once the government completed its part of the agreement.
Under the agreement, the government, through the Ministry, will later on this year build gas stations (SPBG) in a number of cities including Greater Jakarta, Surabaya, Gresik, Sidoarjo and Palembang.
Also this year, the government will distribute at least 25,500 units of fuel converters for public transport vehicles and vehicles belonging to state institutions. This year?s conversion program is expected to save 0.3 million kl of oil-based fuels, or Rp1.5 trillion in subsidy spending.
Gas Supply Allocation for Transportation
| No | Location | Gas Producer | Volume (MMSCFD) |
| 1 | Jabodetabek | Pertamina EP | 10,1 |
| Medco E&P Indonesia | 2 | ||
| PHE ONWJ | 4 | ||
| PGN | 5 | ||
| JOBP Talisman | 2 | ||
| Total | 23,1 | ||
| 2. | Surabaya, Gresik dan Sidoarjo | PHE WMO | 5,2 |
| Santos (Madura Offshore) Pty Ltd | 5 | ||
| Total | 10,2 | ||
| 3. | Palembang | Pertamina EP | 0,85 |
| Sarana Pembangunan Palembang Jaya | 1,35 | ||
| Total | 2,2 | ||
| Total | 35,5 | ||
Editing by Dadan Wijaksana