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BPH Migas Makes Independent Jargas Investment Rules


JAKARTA – The government will continue to use the city gas network (jargas). To encourage domestic gas absorption and reduce imports of Liquefied Petroleum Gas (LPG). Meanwhile, to further encourage the use of jargas. The Downstream Oil and Gas Regulatory Agency (BPH Migas) will issue a new regulation in February 2021.

The Company Committee, Jugi Prajogio, said that the regulation was an improvement from the previous regulation. Currently, the regulatory draft process is still ongoing.

The previous regulation referred to was regulation BPH Migas No.22 / 2011 concerning pricing for household networks and small customers. Later, in the new regulation. The construction of the gas network will be accommodation with independent investments or investments made by business entities.

“BPH Migas is working, on going,, God willing in February 2021 company will establish a regulation which is an improvement to the previous company regulations,” said Jugi, Friday (29/1).

BPH Migas Wants to Create a City Gas Network

The BPH Migas Committee estimates that the selling price of gas for the household sector 2 or small customers 2 is over Rp10 thousand per cubic meter. “Now, we are discussing how to make regulations with independent investment. It is hope that the final (gas) price for consumers can be above Rp. 10 thousand per cubic meter,” he said.

Jugi said the goal is that the business entities that will make the city gas network get a fair economy. At a rational final price compared to general and subsidized LPG. “So, the business entity that will create a city gas network will get a reasonable economy and a rational final price,” he said.

In addition, Jugi also said that in order to support the activities of business entities in the trade and transportation sector, Company will immediately hold socialization regarding BPH Migas’ considerations to the Ministry of Energy and Mineral Resources.


Also, read too another news article about OJK’s Stimulus Policy to Promote Economic Recovery

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