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Wednesday, October 19, 2016

PGN Expands Industrial Market in Cirebon, West Java



    PT Perusahaan Gas Negara (Persero) Tbk is expanding the industrial market in Cirebon by building a new pipeline for the Kanci-Brebes section. This year, there will be 14 new industries that use PGN gas.

    PGN Head of Cirebon West Java Area Marketing, Ade Sutisna, said the Kanci-Brebes pipe, which is 5 kilometers long and 6 inches in size, began construction after the Hari Raya holiday last July. It is planned that the pipeline will start delivering gas in November. This pipe was built to serve the needs of new industries in the Cirebon Area. Two of the 14 industries, he said, have officially become PGN customers and have enjoyed gas supply.

    This is because the locations of these two industries are close to the company's existing pipes. These two industries are the garment industry and mineral water bottle caps. Meanwhile, the remaining 12 industries will only receive gas supplies after the Kanci-Brebes Pipeline is completed. According to him, the potential for the gas market in Cirebon is very promising due to the planned industrial estate development in Majalengka and a new airport.

    PGN promises to be able to supply additional industrial gas needs in this region because there are still many gas sources and adequate pipeline infrastructure. PGN's gas sources in Cirebon are from the Rendengan and Sunyaragi Fields built by PT Pertamina EP




"Like the Kanci-Brebes Pipe, apart from the 14 industries, it is still capable of supplying others,".

    Until now, gas distribution to all gas customers in Cirebon has met the target, which is around 3.2 billion billion British thermal units per day / BBtud. The share of gas delivered to industry reaches 85%. This figure does not yet calculate the distribution of gas to the 14 new customers.

"The volume of 3.2 BBtud is the same as approximately Rp 9 billion per month," said Ade.

    The volume of gas supplied is in accordance with customer needs. To date, there are 94 industries that utilize gas from PGN in Cirebon, out of a total of 19,265 customers. The natural gas user industries are engaged in the liming, ceramics, tile, and food businesses. One of the industries, the liming industry, has been a customer since PGN started its business in Cirebon in 1974.

    One of PGN's oldest industrial customers in the Cirebon Marketing Area is CV Sumberjaya Kapur. Director of CV Sumberjaya Kapur, Dadang Iskandar, said that his company has been a customer since PGN started its business in Cirebon in 1974. Since then, the company has always used gas to burn limestone. 

    The reason is, by using gas, the resulting product becomes better. He also hopes that the reliability of gas supply will be maintained. This is because once the gas supply stops, the company cannot operate. Moreover, if the supply stops for a matter of days, his party has to start heating the furnace for 12 hours first.

    According to him, currently there are seven lime companies operating 22 stoves. All lime entrepreneurs in Majalengka get their gas supply from PGN. PT Genteng Teracotta Industri's Accounting Staff, Agus Nugraha, also expressed the same thing. 

    His party chose to use gas to burn and dry the roof tiles because it was to ensure the quality of the product. The reason is if you use diesel or residue, the resulting tile sometimes has black stains. In addition, by using gas, fuel costs are also cut.

Investor Daily, Page-9, Wednesday, Oct 19, 2016

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