KPK names energy company commissioner as suspect in PGN gas sales graft case

  • Published on 22/10/2025 GMT+7

  • Reading time 2 minutes

  • Author: Julian Isaac

  • Editor: Imanuddin Razak

The Corruption Eradication Commission (KPK) has named Arso Sadewo (AS), President Commissioner of energy company PT Inti Alasindo Energy (IAE), as suspect in an alleged corruption case involving a gas sale and purchase agreement with State gas distribution company PT Perusahaan Gas Negara (PGN) from 2017 to 2021.

Following the announcement, KPK immediately detained Arso.

“KPK has carried out detention for the first 20 days, effective from October 21 to November 9, 2025,” Acting KPK Deputy for Enforcement and Execution, Asep Guntur Rahayu, said at the KPK headquarters in Jakarta on Tuesday, October 21, 2025.

Asep said Arso is being held at the KPK Detention Center and is suspected of providing a commitment fee of S$500,000 to former PGN President Director Hendi Prio Santoso in connection with the gas sale and purchase deal.

“For his actions, suspect AS is charged under Article 2 paragraph (1) and/or Article 3 of Law No. 31/1999 on the Eradication of Corruption Crimes, as amended by Law No. 20/2001, in conjunction with Article 55 paragraph (1) of the Criminal Code,” he said.

The corruption case stemmed from PGN’s 2017 Corporate Work and Budget Plan (RKAP), approved on December 19, 2016, which did not include any plan for purchasing gas from PT IAE.

Despite that, on November 2, 2017, PGN and IAE signed a cooperation agreement after going through several stages of internal discussions. A week later, on November 9, 2017, PGN paid an advance of US$15 million to PT IAE.

So far, KPK has named four suspects in the case:

● Iswan Ibrahim, Commissioner of PT IAE (2006–2023);

● Danny Praditya, PGN Commercial Director (2016–2019);

● Hendi Prio Santoso, former President Director of PGN; and

● Arso Sadewo, President Commissioner of PT IAE.

KPK previously detained Hendi Prio Santoso on October 1, 2025, when announcing his suspect status.

According to an investigative audit by the Supreme Audit Agency (BPK), the state suffered a financial loss of approximately US$15 million (Rp247 billion) from the illicit deal.

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