The National Gas Company (PGN) has targeted Batam, Riau Islands, as the centre of natural gas supplies and hopes developments will see the region become a ‘paradise’ for energy investors.
PGN Infrastructure and Technology Director Dilo Seno Widagdo said Batam will soon be known as Indonesia’s city of natural gas.
Batam’s high potential of gas reserves has long attracted the interest of local and foreign investors. Strategically located near Singapore, a hub for international trade, and with infrastructure developing investor interest is expected to increase.
To date, PGN serves 3,497 households, 53 commercial enterprises and 42 industry and power plant customers in Batam alone. The firm services 19 cities over 12 provinces.
“Since 2004, we have been developing distribution networks for our customers in Batam. PGN directly supply the gas to the industries, commercial enterprises and even to power plants and households,” Widagdo said, as quoted by Okezone.
PGN is also set to soon finish the Sub Sea Tie In transmission pipe project, which was assigned by the national government.
“We believe that this project will bring Batam another benefit, which is as alternative supply of gas to various areas in Riau Islands, especially Batam, Bintan and Karimun. This will also serve as our contribution to support government’s programme to improve national energy resilience and independence,” Widagdo said.
When the pipe project is complete, PGN in Batam will have a capacity of 40 Billion British Thermal Unit per Day (BBTUD) in total. The project can improve natural gas volume up to 100 BBTUD for the next several years, adjusting with the increasing consumer demand for gas.
With a large availability of energy support in Batam, the local government has turned to foreign investors to develop commercial, industrial and electricity sectors to improve access and the economy in Batam, Bintan and surrounding areas in Riau.
“PGN is growing along with its customers and stakeholders in improving national competitiveness independently through reliable integrated gas infrastructures and supplies. We believe that it’s not impossible for Batam to be a paradise for foreign investors to invest their capital here,” Widagdo said.
Image credits: Good News from Indonesia