Transmission Pipeline Gas Cisem-1 Officially Started Flowing Into Kendal Industrial Park, Toll Fee Allow Industries in KIP Get Cheaper Gas Prices

November 17, 2023

The natural gas transmission and distribution pipeline from the Cisem-1 pipeline officially started flowing into Kendal Industrial Park on Friday, 17 November 2023. The inauguration was held at PT Goldensnack, which is one of the industries in the area. The Director General (Dirjen) of Oil and Gas at the Ministry of Energy and Mineral Resources, Tutuka Ariadji, who witnessed the natural gas flow of the Cisem-1 transmission pipeline, said that the Cisem pipeline is a PSN and is a breakthrough because it was built directly by the Ministry of Energy and Mineral Resources through APBN financing.


The Cisem-1 pipeline is managed by the Directorate General (Ditjen) of Oil and Gas through the Oil and Gas Institute (Lemigas) in collaboration with PT Pertamina Gas (Pertagas).


The construction of this gas pipeline was previously carried out from 23 May 2022 to 22 August 2023. The construction includes a 20-inch diameter gas pipe with a total length of 60 km, and the construction of ESDM Semarang and Batang Gas Refueling Stations (SPBG).


Tutuka Ariadji said, that with direct transportation via pipeline, toll fees or costs for transporting gas via the Cisem-1 gas pipeline could be lower. The positive impact of low toll fees is that industries in the Kendal Industrial Area will get cheaper gas prices so that industrial productivity and competitiveness increase, and there is an increase in investment and employment for the people.


With the construction of a gas pipeline in the Kendal Industrial Area, it is hoped that it will boost the national economy and encourage industrial competitiveness. Apart from that, the existence of this pipe can make gas prices more affordable for the community, both industry and the wider community. The goal is that the economy can grow so that people can contribute more to development.