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Cirebon-Semarang gas pipeline project in limbo
Recently appointed BPH Migas head Erika Retnowati said on Monday that the agency considered clarity on the Cisem project critical to secure funding from the 2022 state budget.
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A worker checks a gas pipeline of an onshore receiving facilities (ORF) owned by state-owned company PT Pertamina Gas in Porong, Sidoarjo, East Java, in this undated picture. (Antara/Zabur Karuru)
T
he Downstream Oil and Gas Regulatory Agency (BPH Migas) is turning its attention to PT Bakrie & Brothers (BNBR) over the completion of the delayed Cirebon-Semarang gas pipeline project (Cisem) project.
Recently appointed BPH Migas head Erika Retnowati said on Monday that the agency considered clarity on the Cisem project critical to secure funding from the 2022 state budget.
The Cisem project comprises the 84-kilometer Semarang-Batang and the 153-km Batang-Cirebon pipeline segments. The construction of the first segment, set to kick off in 2022, is prioritized because the Batang industrial area will soon be operational.
“This is urgent because the Batang industrial area will be used soon,” Erika told House of Representatives Commission VII, which oversees energy and mineral resources, during a virtual work meeting in Jakarta.
There has been a long debate regarding the financing of the Cisem project, according to Erika, as the previous BPH Migas committee had been reluctant to use state funding for the project.
BNBR corporate communications head Bayu Nimpuno declined to provide further details on the matter but said the company and BPH Migas would arrange a meeting in the near future.
“We cannot comment yet,” he told The Jakarta Post on Tuesday.
