PLN should build own gas infrastructure

By Godang Sitompul

Energy and Mineral Resources Vice Minister Rudi Rubiandini said that the state utility PT PLN should develop its gas infrastructure to enable it to absorb all offered gas supply, so that it could increase electrification rate and decrease the subsidy on oil fuels.

?It should have its own gas infrastructure to absorb all available supply. Otherwise, it will continue rejecting gas if the supply exceeds the volume it needs. Now, when we give the available gas to the industrial customers, it can only be distributed by PT PGN because it is the only firm having the infrastructure,? he told Petromindo.com in Jakarta on Friday.

?When it is distributed by PGN, the selling price becomes excessive for PLN. This is a problem we?re trying to solve,? he added.

Rudy was commenting on the statement made by PLN Oil Fuels and Gas Division Head M. Suryadi Mardjoeki, who doubted that PLN could absorb gas supply from Terang, Sirasun, and Batur fields of Muriah Block at its full capacity of 130 bbtud. It can only absorb at 100 bbtud without the clausal of take or pay (TOP). That?s above TOP. "Our TOP is 91 bbtud,? he added.

Editing by Benget Besalicto Tnb.