The tender for the construction of the state budget-funded gas networks will be divided into five packets, the ministry's director of oil and gas infrastructure planning and development, Noor Arifin Mohamad, said in a written statement released in Jakarta on Tuesday.
On March 14, 2022, the government signed the first of three contracts for the construction of the gas network. The first contract covers three packages for 25,605 household gas connections that will require an investment of Rp215.98 billion.
"The three packages are packages one, two, and four," he said.
Package 1 will cover Siak and Pelalawan districts in Riau province and West Tanjung Jabung in Jambi province. Package 2 will cover Musi Banyuasin, Muara Enim, and East Ogan Komering Ulu districts in South Sumatra Province, while Package 4 will cover Gresik and Probolinggo districts in East Java Province.
At the end of March 2022, the government will sign the second contract for Package 3, which will cover Indramayu District in West Java, Semarang City in Central Java, and Wajo District in South Sulawesi.
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The third contract for Package 5, covering Lumajang district, East Java, is expected to be signed in mid-April 2022.
The Directorate General of Oil and Gas at the Energy and Mineral Resources Ministry has installed 662,431 household gas connections since 2009.
The installation of household gas connections is one of the government's priority programs. It is designed to provide the public with energy access, retrench public spending on gas fuels, help develop the people's economy into a self-reliant and environmentally friendly economy, and reduce oil and gas subsidies.
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Translator: Sugijarto P. Suharto
Editor: Rahmad Nasution
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