Indonesia aims for energy independence in LPG

Indonesian Minister of Energy and Mineral Resources Bahlil Lahadalia has emphasised the need to develop domestic gas networks to reduce reliance on imported liquefied petroleum gas (LPG) and strengthen energy sovereignty.

Indonesia is working to reduce reliance on imported liquefied petroleum gas. (Illustrative photo: AFP/VNA)
Indonesia is working to reduce reliance on imported liquefied petroleum gas. (Illustrative photo: AFP/VNA)

Jakarta (VNA) - Indonesian Minister of Energy and Mineral Resources Bahlil Lahadalia has emphasised the need to develop domestic gas networks to reduce reliance on imported liquefied petroleum gas (LPG) and strengthen energy sovereignty.

Indonesia produces 1.7 million tonnes of LPG annually while demand reaches 8 million tonnes, forcing the country to import 6-7 million tonnes per year.

Bahlil urged future governments to focus on gas industry development, producing LPG components like propane and butane.

Initial gas networks have been built in regions like East and West Java, but capacity remains limited.

The Indonesian Government is considering annual subsidies of 80 trillion IDR (5.1 billion USD) for LPG while exploring budget-saving alternatives such as expanding urban gas networks./.

VNA

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