CNG Indonesia Market Intelligence

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CNG Indonesia Category Intelligence

Report Coverage

Market Scenario
Procurement Practices followed by Industries in Indonesia
Major CNG suppliers in Indonesia

CNG Indonesia Market Trends

Category Intelligence on CNG Indonesia covers the following

Information relating to market, supply, cost, and pricing analysis
Hard to find data on cost and TCO models, supplier details, and performance benchmarks
Macroeconomic and regional trends impacting cost, supply, and other market dynamics
Category-specific negotiation and sourcing advice

Table of contents

Executive Summary

Market Overview: CNG

Market Structure

CNG Storage Facility

Policies and Regulations

Supplier Analysis

Best Practices and Procurement Strategies- CNG

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Industry Outlook & Drivers

Regional Market Report on CNG

Indonesia has the largest proven gas reserves in the Asia Pacific region and the eleventh largest in the world
Natural gas from the gas pipeline is compressed to CNG at the mother station and is supplied to industries and daughter stations for refueling of NGV
Presently, there are 60 CNG stations, of which, 46 have been constructed using state fund

Market Overview

Policies and Regulations in CNG Market

Law No.22/2001

Liberalization of the downstream market to direct foreign investment and ending the monopoly of Pertamina

Gas fuel for Transportation Ministerial Decree No. 25/2017

The Energy and Mineral Resource Manager has mandated the installation of CNG dispensers at conventional filling stations in Java by 2020
The transport of CNG for fuel will be exempted from additional costs, such as toll fees

Regulation 11 of 2017

Allocation of natural gas for power generation to PT PLN and IPPs
New rule intends to maximize the procurement of natural gas for gas-fired power plants
Sets a ceiling price for gas used in IPPs

VAT Exemption Regulation No 52

Certain types of natural gas, such as gas transported through pipelines, LNG and CNG has been exempted from VAT

Procurement Strategies

Mother Station

It is also know as virtual pipeline network. Piped natural gas is compressed at mother station and the compressed volume is transported via truck to large industries or daughter station
Industrial consumers having large and consistent volume prefer this engagement model, as the price majorly depends upon the volume and the distance from mother station

Daughter Station

From daughter station CNG is delivered via truck to the small industries. Transportation vehicles also refill CNG from daughter stations
There is high competition, as many players are present in this segment

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