PGN Increases Target for Household Gas Pipe Connections

Surabaya, East Java (Antara) - Publicly traded state gas company PT Perusahaan Gas Negara (PGN) increased its target for household natural gas pipe connections in East Java. PGN will supply natural gas via pipes to up to 2,500 households in East Java up from 900 households previously planned. An East Java PGN branch spokesman Krisdyan Widagdo said the state company hopes to provide people with cheaper fuel. In addition, the plan follows the expansion of industrial gas pipe networks, Krisdyan said. "Currently we are building natural gas transmission pipeline to the northern part of East Java extending from Gresik to Tuban. The construction of the 20-kilometer transmission pipeline constitutes the first phase of the plan," he said. He said PGN will seek to accelerate the program of conversion of oil fuel to gas fuel. Currently PGN has 13,311 household customers using natural gas for fuel or the largest in the country. "In Surabaya, there are 9,844 customers and in Sidoarjo 3,212 customers . By the end of 2014, the number of household customers in East Java is expected to rise to 15,631," he said. Households are among the largest regular users of natural gas from PGN in the country, he said, adding, other consumers are industrial, commercial and small industries . "Distribution of natural gas to new customers both households, industries, commercial units and small industries will accelerate the process of fuel conversion from oil to gas," he said PGN President Director Hendi Prio Santoso said conversion into natural gas for household fuel is the right policy to strengthen the country's energy security. "Natural gss fuel is safer, cheaper and environmentally friendlier," Hendi said. After tens of years in operation PGN has never received report of accident involving household customers, he claimed. Hendi cited a household will pay only Rp40,000 if using natural gas instead of Rp100,000 if using liquefied petroleum gas (LPG) in 12-kilogram canister. "Currently we are serving around 100,000 household customers. Under our program to increase the number to 1 million, this year we have identified 10,000 new household connections in the Greater Jakarta area," he said. In the first year of kerosene to LPG as household fuel, many fire accidents were reported but the problem lies in the canisters.(*) (T.A. Saragih/F. Assegaf)