JAKARTA. PT Perusahaan Gas Negara (Persero) Tbk (PGAS) or PGN, is making various efforts to maintain the selling price of industrial gas at US$ 6 per MMBTU.
Gigih Prakoso, President Director of PGN, said this was in accordance with Presidential Regulation No. 40 of 2016. "The formula is gas cost plus gasification plus transmission, distribution and commercial expenses," Prakoso said as quoted by Bisnis Indonesia on Monday (3/2) today.
Prakoso said his office was trying to make the formulation of industrial gas prices more transparent, and to run efficiently. At present, he explained that the upstream purchase price contributes 70 percent to the selling price of industrial gas. Transmission costs contributed 13%, and distribution costs contributed 17%.
Meanwhile, from a business perspective, PGN has agreed to reduce gas prices at the upstream level and adjust the Domestic Market Obligation (DMO). "We are also restructuring the business," Prakoso explained. (KR/AR)