The president believes that gas supply is the main key to revive two fertilizer factories in Aceh: PT PIM and PT Aceh ASEAN Fertilizer (AAF).
"I ask for the commitment of the SOEs Ministry, Pupuk Indonesia, and PIM to find a solution to the gas problem because gas is the main key," he emphasized while inaugurating the fertilizer plant for nitrogen, phosphorus, and potassium (NPK) of PT PIM in North Aceh District, Aceh Province, on Friday.
Jokowi noted that PIM and AFF had stopped operating since 2005 due to gas supply problems.
The president regretted the shutdown of these two companies which he called huge assets. Hence, he ordered SOEs Minister Erick Thohir to revive the operations of the two factories.
"If the gas price is still high right now, then that is due to the expensive price of all energy. However, one day when the price drops, we should be able to solve this gas problem properly," he stated.
The president believes that if the problem of gas supply can be solved, then PIM's operations can be optimized by doubling the production capacity of 570 thousand tons to reach 1.14 million tons since PIM has two factory facilities: PIM-1 and PIM-2,.
Meanwhile, Jokowi reported that PIM could only operate with an output of 500 thousand tons.
In his remarks at the inauguration of the PIM NPK fertilizer factory, the head of state also expressed optimism that the facility would be able to address fertilizer problems that the farmers had complained about.
The head of state explained that the global fertilizer supply chain was still disrupted due to the Ukraine-Russia conflict, considering that Ukraine is one of the world's largest fertilizer producing countries.
Meanwhile, Indonesia has only been able to meet 3.5 million tons of the national fertilizer need that reached 13.5 million tons.
Related news: Indonesia only seeks solutions on conflict, supply disruption: Jokowi
Related news: Gov't looking to expand downstreaming of gas, food: minister
Translator: Gilang Galiartha, Resinta S
Editor: Rahmad Nasution
Copyright © ANTARA 2023
