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Indonesia will Import Gas in 2019, Official Says

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16 March 2016 15:28 WIB

ANTARA/Zabur Karuru

TEMPO.CO, Jakarta - Agus Cahyono Adi, Director of Oil and Gas Development Program of the Energy and Mineral Resources Ministry, said that currently, 47 percent of Indonesia’s gas production is being exported to foreign countries because domestic natural gas demand is still lativel low. However, Agus warned that without new natural gas resources Indonesia could become a natural gas importing country in 2019.

"[Indonesia must import natural gas in 2019] based on our prediction," Agus said during the Gas Indonesia Summit and Exhibition on Wednesday, March 16, 2016.

Data predicting Indonesia's natural gas reserves stated that Indonesia will need to import 1,777 MMSCFD of natural gas in 2019. However, the number may be lowered if the country could discover new gas wells.

Agus added that the gas import volume will be evaluated and adjusted annually. "We import [gas] not because we are short on supplies," Agus said.

Agus also said that the government continues to push for gas infrastructure development to allow equal distribution of natural gas across the country. "[The government's] target is to connect gas supplies in Indonesia by building gas distribution and transportation infrastructures," Agus stated.

On the same occasion, Sampe L. Purba, Head of Natural Gas Commercialization of the Special Task Force on Oil and Gas (SKK Migas) said that domestic natural gas demand is still being dominated large industries and power plants. Purba hoped that better infrastructure would allow natural gas to be distributed to households. "[Indonesia] will need more gas for domestic consumption if all of the infrastructures are ready and if the country’s electrification ratio could reach 100 percent by 2020," Purba said.

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