Insight
Finding space for gas in the new energy landscape
Report summary
We are witnessing several changes in the energy landscape which will greatly influence the gas and LNG markets in Indonesia. These include changes on the corporate side, demand outlook as well as the development of new energy technologies. On the corporate side, the Pertamina-PGN merger is an event which will alter the competitive situation of the market. The merger seems imminent, as it has received approval from PGN's shareholders and secured approval from the government. While the move should benefit both Pertamina and PGN, there are greater uncertainties for other market players which need to secure access to existing gas infrastructure. The government's decision post merger – whether to maintain the competitiveness in the market by imposing mandatory third-party access, or to integrate further through a single buyer structure – will determine the fate of other industry players in the country.
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- Finding space for gas in the new energy landscape
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