Minister of Energy and Mineral Resources: Development of Gas for Transportation (BBG) No Maximum

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Minister of Energy and Mineral Resources: Development of Gas for Transportation (BBG) No Maximum

Monday, 22 February 2010 10:55

JAKARTA. Utilization of Natural Gas for transportation (BBG) is currently running to maximum because there are still some obstacles in its implementation, as told by the Minister of Energy and Mineral Resources of Working Meeting with Commission VII of DPR RI, Monday (15 / 2).

           Some of the development constraints on the use of Natural Gas transportation sectors, among others, limited distribution pipelines, the price of a converter kit, investment and operating costs are expensive and SPPG margin that has not been attractive to investors.

"Public opinion that the use of CNG has a security risk greater than the fuel is also a constraint", added the Minister.

           To optimize the utilization of Natural Gas Minister Government continued to revitalize the division SPBG and converter kit by relevant agencies and coordinate with related agencies both at central and local levels to encourage the use of Natural Gas for transportation sector.

         In addition the government will facilitate the development of natural gas, CNG pricing is expected to be attractive to providers and provide price subsidy for CNG transportation sector and provide a legal umbrella for the use of CNG transport sector.

        Gas utilization will be improved, in addition to the government transport sector have also been using Natural Gas for the domestic sector (Gas City). During the year 2009 has been built Gas Network in Palembang and Surabaya, this year the government planned to build in four locations namely, Tarakan, Depok, and Bekasi Sidoarjo. Natural Gas Utilization in the country in addition to efforts to support increased economic growth is also a manifestation of the energy diversification program. (SF)(ESDM)

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