Supporting the Free Nutritious Meal Program, PGN and BGN Collaborate on Natural Gas Supply
Jakarta, December 4, 2024 – PT PGN Tbk and the National Nutrition Agency (BGN) collaborated to distribute natural gas to support the Free Nutritious Meal (MBG) program. The collaboration was formalized through a Memorandum of Understanding signed by the Head of BGN, Dadan Hindayana, and the President Director of PGN, Arief Setiawan Handoko, effective December 2, 2024.
This partnership aligns with the directive of the Minister of State-Owned Enterprises (SOE), Erick Thohir, who tasked eight SOEs, including PGN, to fully support the collaboration between the Ministry of SOEs and BGN under President Prabowo’s Free Nutritious Meal (MBG) Program. "PGN is preparing urban gas network infrastructure to serve as an energy source for nutrition service units, facilitating the preparation of nutritious meals," said Erick in a Ministry of SOEs press release (8/11/2024).
The head of BGN, Dadan Hindayana, explained that the partnership with PGN is part of implementing energy self-sufficiency and the MBG program. BGN estimates there will be 30,000 Nutrition Service Units across Indonesia, with natural gas playing a crucial role in the cooking processes at these units.
“This partnership is auspicious as part of implementing the MBG Program. Together, we aim to make Nutrition Service Units an entry point for utilizing natural gas. Hopefully, we can maximize natural gas utilization through the MBG program while reducing subsidies for imported LPG,” Dadan stated.
PGN is committed to supporting the collaboration between the Ministry of SOEs and BGN in the MBG program. This support will be carried out in line with PGN’s capabilities in providing natural gas energy in Indonesia. Under this partnership, PGN will supply natural gas through pipeline networks and Compressed Natural Gas (CNG) while supporting infrastructure in various existing PGN operational areas.
“We greatly appreciate this opportunity to work with BGN. PGN is honored to contribute to the government’s program. We will fully support natural gas utilization as an energy source for preparing nutritious meals by Nutrition Service Units. PGN's support aims to provide clean energy services and enhance domestic energy utilization, in line with the government’s goals, particularly energy self-sufficiency,” said the President Director of PGN, Arief Setiawan Handoko.
PGN operates in 17 provinces across 73 cities/regencies in Indonesia, with an integrated network of pipelines and beyond-pipeline solutions. Natural gas utilization through beyond-pipeline infrastructure, such as CNG, provides energy for Nutrition Service Units far from pipeline networks.
Natural gas is an environmentally friendly energy source compared to other fossil fuels. Its use in fulfilling the nutritional needs of Indonesian children adds significant value. Additionally, utilizing domestic natural gas supports Indonesia's energy needs while reducing the burden of energy subsidies and fostering energy independence.
“PGN is committed to being a strategic partner for the government in establishing Nutrition Service Units. We hope this collaboration brings sustainable benefits, especially in preparing a high-competency generation for Indonesia’s Golden Vision 2045, while offering PGN opportunities to strengthen Indonesia’s energy resilience,” Arief concluded.
Vice President of Corporate Communication of PT Pertamina (Persero), Fadjar Djoko Santoso, added that Pertamina encourages all its subsidiaries to support government programs to achieve energy self-sufficiency.
"Gas is a transitional energy source for fulfilling national energy needs, including supporting the government’s Free Nutritious Meal program as an energy source for Nutrition Service Units," Fadjar emphasized.
Pertamina, as a leading company in the energy transition, is committed to supporting the Net Zero Emission 2060 target by continuously promoting programs that directly impact the Sustainable Development Goals (SDGs) achievement. All these efforts align with Environmental, Social & Governance (ESG) implementation across all Pertamina's business lines and operations.