PGN Mulls Building 60 Gas Refueling Stations

TEMPO.CO, Jakarta - Herry Yusuf, Company Secretary for the State Gas Company (PGN), said that PGN is ready to construct 60 Gas Refueling Stations (SPBG). The SPBGs will be constructed near PGN pipelines located around existing Gas Stations (SPBU). "It will be easier to build because it can be directly connected to the gas pipeline," he said on Thursday, September 11, 2014.

Herry said that PGN is ready to build the SPBGs based on the government's instructions. "The development should not take too long," he said.

According to Herry, the process of establishing an SPBG, including installing the pipeline, modifying the location and constructing the SPBG building, should not take more than three months. "That is the time required. If there are complications arising from other factors such as permit issuance and tool procurements, then development will take around one year," said Herry.

Constructing SPBGs near SPBUs, said Herry, will not interfere with Pertamina's business because the government plans to regulate the use of both conventional fuel and gas fuel. He explained that gas fuel will be prioritized for public transportations. "As for private vehicles, it will still use conventional fuel so it will be alright," Herry said.

CEO of PGN Hendri Prio Santoso said that each SPBG requires an investment of US$8.5 million to US$17 million. He hoped that the development plan can be implemented soon. "There are still a number of issues that need to be resolved by the government such as permit procedures between the central and district government," he said last Wednesday, September 10, 2014.

ALI HIDAYAT