Japan's NEDO launches fuel station in Indonesia's push for CNG vehicles

19, Dec. 2019

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KARAWANG, Indonesia, NNA – The completion of a station to dispense compressed natural gas (CNG) near Jakarta will pave the way for CNG vehicles and stations using Japanese technology to be introduced in Indonesia soon.

Located on a 4,100 square meter site in Karawang International Industrial City (KIIC), the station will fuel mainly trucks in a full-scale demonstration by Japan's New Energy and Industrial Technology Development Organization (NEDO) in its partnership with Indonesia to promote the widespread use of CNG vehicles.

Representatives from the Indonesian government, NEDO and the project consortium attended a celebration to mark the completion of the CNG station on Tuesday.

In December 2017, NEDO and the Directorate General of Oil and Gas at the Ministry of Energy and Mineral Resources of Indonesia (MIGAS) concluded a memorandum of understanding to carry out the demonstration project on CNG vehicles.

Subsequently, a consortium comprising Toyota Motor Corp., Hino Motors Ltd., Toyota Tsusho Corp. Toho Gas Engineering Co., and the Japan Automobile Research Institute (JARI) signed implementation agreements with Indonesian state-owned oil company, Pertamina, to jointly promote the project which is worth 3.5 billion yen ($32 million).

Earlier this year, NEDO introduced 10 CNG passenger cars and 18 CNG trucks to perform a pilot operation and obtain data. The cars were test-driven by the Ministry of Energy and Mineral Resources as well as Pertamina while the trucks were tested in the industrial area.

Trials will be carried out soon under realistic conditions to verify whether high-quality CNG supplied at the new station, which is equipped with Japanese technology, can meet international standards. In addition, the performance and safety of the station and CNG vehicles will be evaluated.

By April 2020, CNG stations will also be built next to two existing gas stations in Jakarta and nearby Tangerang City in Banten Province as part of the NEDO's commitment to build infrastructure to create a sustainable CNG transportation system.

"After that, a demonstrative operation lasting approximately one year is scheduled to take place to verify the quality of the CNG and the safety and maintainability of the CNG supply facilities," NEDO said in a report on their website.

NEDO will develop systems and standards that will boost energy conservation while reducing greenhouse gas emission as it promotes the use of the greener vehicles in Indonesia.

Djoko Siswanto, Indonesia's acting director-general of oil and gas, said the cooperation with NEDO, which will run till 2021, covers the building of CNG stations, user monitoring, procurement of the gas, CNG vehicles and measures to promote their use.

NEDO executive director Izuru Kobayashi said the widespread use of CNG would reduce air pollution in Indonesia since CNG vehicles emit less greenhouse gas compared to conventional gasoline or diesel cars.

Ryrien Marisa, manager of gas sourcing and commercial of Pertamina said there are 62 CNG stations managed by Pertamina Group and PT Perusahaan Gas Nasional currently in Indonesia. They serve mostly public transport vehicles while private car owners represent only less than five percent of their clients.

"Indeed, we need support with follow-up policies from central and regional governments to encourage people to switch to CNG so that the existing CNG stations can be fully utilized," Marisa told NNA.

Compressed natural gas is being fueled at an inauguration cremony of  a gas station in Karawang, West Java Province on Dec. 17, 2019.
Compressed natural gas is being fueled at an inauguration cremony of a gas station in Karawang, West Java Province on Dec. 17, 2019.