JAKARTA (RambuEnergy.com) – National gas distributor PT Perusahaan Gas Negara Tbk (IDX:PGAS) said it will set aside Rp12 trillion (approximately US$856 million) to develop up to 4.5 million city gas network by 2025, a company senior official said.
The city gas network targets households and small and micro enterprises.
President Director of PGN Gigih Prakoso said Tuesday that the city gas network development is in line with the target set by the National Energy Council (DEN) and the government through the Energy and Mineral Resources Ministry.
The funds would come various sources, including the State Budget (APBN), internal cash, loan and partnership. So far, PGN has connected pipeline distribution network to around 400,000 households and scheduled to add gas netwrok to 800,000 households this year.
The gas network program is part of the goverment program to increase the utilization of natural gas in the country.
As for this year, PGN sets aside US$400 million in capital expenditure, the portion of which will be used to fund the development of city gas program. (*)