State-owned gas distribution company PT PGN has partnered with the National Nutrition Agency (BGN) to supply natural gas for the government’s “Makan Bergizi Gratis” (MBG) or “Free Nutritious Meal” program.
The partnership was formalized through the signing of a Memorandum of Understanding (MoU) on December 2, 2024, by Dadan Hindayana, Head of BGN, and Arief Setiawan Handoko, President Director of PGN.
This collaboration follows an assignment from Indonesia’s Minister of State-Owned Enterprises, Erick Thohir, who tasked eight state-owned enterprises, including PGN, to support the MBG initiative.
“PGN is preparing gas infrastructure in urban areas to provide energy for nutrition service units, facilitating the cooking of nutritious food,” Erick said as quoted in a statement on Tuesday, December 10, 2024.
BGN’s Head Dadan Hindayana said that the partnership is a step forward in Indonesia’s energy self-sufficiency, while also addressing the country’s nutritional needs.
The agency estimates that 30,000 Nutrition Service Units will be established across Indonesia, with natural gas playing a crucial role in cooking within these units.
“This collaboration is crucial for the MBG program’s implementation. Together, we aim to make Nutrition Service Units the entry point for natural gas utilization.
Hopefully, we can maximize the use of natural gas and reduce the need for subsidies for imported LPG,” Dadan said.
Under this agreement, PGN will provide natural gas through pipeline networks as well as Compressed Natural Gas (CNG), along with the necessary infrastructure in regions where PGN already operates.
“This support from PGN is expected to provide clean energy services and enhance the utilization of domestic energy, aligning with the government’s energy self-sufficiency goals,” Arief Setiawan Handoko said.
PGN’s operations currently span across 17 provinces and 73 cities and regencies in Indonesia, with both pipeline and beyond-pipeline services. CNG infrastructure will help meet the energy needs of Nutrition Service Units located in areas far from gas pipeline networks.
Natural gas is a more environmentally friendly energy source compared to other fossil fuels, making it an ideal choice for this initiative aimed at nourishing Indonesia’s children.
Energy security
Additionally, utilizing locally sourced natural gas will help meet Indonesia’s energy needs, contributing to energy independence and reducing the burden of energy subsidies.
“PGN is committed to being a strategic partner in the establishment of Nutrition Service Units. We hope this initiative will provide lasting benefits, especially in preparing Indonesia’s future generation to reach the nation’s vision for 2045, while also presenting opportunities for PGN to contribute to Indonesia’s energy security,” Arief said.
Fadjar Djoko Santoso, Vice President for Corporate Communication at State energy company PT Pertamina, added that Pertamina encourages all its subsidiaries to support the government’s efforts to achieve energy self-sufficiency.
“Gas is a transitional energy source that will meet national energy needs, including supporting the government’s Free Nutritious Meal program for the Nutrition Service Units,” Fadjar said.