Inaugurate Energy Infrastructure in Kuala Tanjung, Indonesia Minister of Energy and Mineral Resources: Ports are the Gateway to World Business

By teadmin Last updated Dec 4, 2020

The Ministry of Energy and Mineral Resources (ESDM) continues to be committed to providing an adequate and even supply of energy even in the midst of adapting to new habits due to the Covid-19 pandemic. This was conveyed by Minister of Energy and Mineral Resources Arifin Tasrif at the Groundbreaking event virtually for the Bunker Facilities and Facilities for Supporting the Fuel Terminal (TBBM) and the Inauguration of the Kuala Tanjung Gas Pipeline at the Kuala Tanjung Multipurpose Terminal location, North Sumatra province, in Jakarta, Friday (4/12) . Also attending virtually with the Minister of Energy and Mineral Resources, Minister of Transportation Budi Karya Sumadi.

The synergy between State-Owned Enterprises (BUMN) in the utilization of Port assets for energy distribution carried out by PT Pertamina (Persero) and PT Pelindo I (Persero) was appreciated by Arifin. This is expected to increase national energy security, because with this synergy, energy distribution can be more effective and efficient.

“The port is the gateway to world business that will drive the national economy. Therefore, we must ensure the availability of energy at every port throughout Indonesia. The Ministry of Energy and Mineral Resources hopes that this synergy can continue to be developed to serve the distribution of BBM to national and international vessels throughout Indonesia. ports and territorial waters of Indonesia, “said Arifin.

The ESDM Ministry also appreciates PT Pertamina (Persero) for successfully completing the Kuala Tanjung gas distribution pipeline project in the midst of the Covid-19 Pandemic. Arifin explained that the national natural gas production is quite large so that it must be maximally utilized for domestic use, supporting clean energy and creating public welfare. The development of natural gas infrastructure is the key to the realization of the energy-to-natural gas conversion program.

“The government will continue to encourage natural gas as one of the main energies by increasing supply, building infrastructure and establishing a domestic market. Energy independence will be the Ministry of Energy’s concern because it is an important element for national economic growth,” Arifin explained.

Infrastructure development and the distribution of natural gas in various regions in Indonesia prove that natural gas is able to strengthen the competitiveness of the industrial sector, create savings for the household, SME and transportation sectors, and reduce dependence on energy imports. This gas distribution pipeline infrastructure is expected to meet the needs of industrial gas use in the Kuala Tanjung Industrial Estate and support the Kuala Tanjung Industrial Estate towards a clean energy area.

In addition, the development of energy infrastructure in Kuala Tanjung is also expected to carry regasification gas from the Arun LNG Receiving Terminal or tail gas from the gas field in Aceh for industrial needs in the Kuala Tanjung area. This natural gas infrastructure also helps provide competitive energy supply for industrial and port development in the Kuala Tanjung area.

“The development of gas infrastructure is also to support the use of natural gas for domestic interests, support the Government’s program in order to reduce the use of BBM as industrial fuel and power plants. In addition, support the Government’s program in accelerating the development of the International Port and Kuala Tanjung Industrial Area,” added Arifin .

It is hoped that the completion of the Kuala Tanjung gas distribution pipeline can have a positive impact on the use of gas for industry and increase the competitiveness of North Sumatra’s industry.

“We expect support from the Ministry of Transportation, Pelindo and all parties to encourage the creation of new energy demand so that the utilization of the facilities that have been built will be more optimal,” Arifin concluded.

Meanwhile, the Minister of Transportation revealed that Kuala Tanjung is a strategic area in the Malacca Strait and north of Singapore and Malaysia. With a draft depth of 15 to 17 meters, it is potential for large international ships to dock at Kuala Tanjung.

“The President always wants that we have to get national growth, and one of the ways is how we increase our logistic performance index. What we do in Kuala Tanjung is part of our efforts to increase (the logistic performance index),” he said.

Kuala Tanjung is also supported by Sei Mangkei, an industrial center which is still quite extensive. For this reason, Budi suggested that Pertamina and Pelindo I can use Sei Mangkei to be developed in collaboration with multinational strategic partners. (RZ)