PGN targets 100 percent local content by 2020

PGN targets 100 percent local content by 2020

Officials of state-owned gas company PGN. . (ANTARA /Galih Pradipta)

Probolinggo, E Java,  (ANTARA News) - State-owned gas company PT Perusahaan Gas Negara (PGN) has targeted to fulfill 100 percent local content requirement in its infrastructure material by 2020.

The company`s Director for Infrastructure and Technology Dilo Seno Widagdo stated here on Wednesday that currently, PGN`s infrastructure for gas distribution in some regions has reached 72 percent of local content, while the remaining 28 percent had to still be imported.

Widagdo, who was in the city to monitor the establishment of a gas network, pointed out that some national companies were not yet prepared to produce the component it needed, including plastic ore for pipe.

However, the company will continue to encourage the full utilization of local content in an effort to boost the national component industry.

"For some components, we are not yet ready. However, we have coordinated with state enterprises and national companies to produce the component," he added.

PGN has conducted a trial for its gas network to 5,052 houses in Probolinggo City. The project in East Java in 2018 will focus on two cities: Probolinggo and Pasuruan.

Reporting by A Malik Ibrahim
Editing by Sri Haryati