Implement Conversion Program, Pertamina Uses LNG for Tanker

1/2/2017 5:46:41 PM

JAKARTA – PT Pertamina (Persero) has start to convert fuel in the fuel tanker from non-subsidized diesel fuel (solar) to LNG as the commitment in implementing conversion program from fuel to gas. With this conversion, there will be fuel cost efficiency for about 42.000 KL per year which is equivalent to 280 billion rupiah per year.

The conversion program is started with the inauguration of LNG utilization as the fuel of Pertamina tanker in Balikpapan Fuel Terminal by the Director of Marketing and Commerce Hanung Budya.

Hanung Budya said that in the effort to support the implementation of energy mixture as decided by the presidential regulation No.05 year 2006, Pertamina viewed the relevancy of the conversion in all lines, including Pertamina fuel tanker which up until now still uses non-subsidized diesel fuel. After several test, he continued, Pertamina conclude that the use of LNG is appropriate for fuel tanker.

“From the test result, a combination of 43% diesel fuel and 57% LNG, generates efficiency above 14% if compared to the use of 100% diesel fuel. This is so exciting and we are committed to expand the program implementation to all Pertamina fuel tanker," he said.

In the test, Pertamina has set conversion kit on 5 tanker with dual fuel system. Furthermore, Pertamina provide ISO tank LNG as well as the development of LNG charging facilities in Balikpapan fuel terminal.

Hanung said that there are about 2.100 tanker in the subsidiary managment that can be converted the fuel to LNG. If all the tanker sucessfully converted, the total cost efficiency of fuel will reach 280 billion rupiah per year.

“Diesel fuel can be saved up to 3.500 KL per month. This efficiency can increase if LNG composition in dual fuel mix is bigger. In the near future we will conduct test of 100% use of LNG," he said. 

Director of Gas Pertamina Hari Karyuliarto expressed that in the first stage, the supply of LNG for this program came from PT Badak NGL in collaboration with Pertamina subsidiaries in gas sector, which are PT Pertagas and PT Nusantara Regas. He said that LNG is suitable to be used on heavy duty vehicles, such as fuel tanker, trucks and excavators as well as trucks that went through the distance.

Indonesia, he said, will be greatly benefited if the program initiated by Pertamina and is proven to be positive can also be implemented on similar vehicles. So far, Pertamina have done pilot project of LNG usage as the fuel for excavators in cooperation with Indominco Mandiri and Berau Coal.

If the initiative is applied to other heavy duty vehicles, the impact will be very positive in reducing the dependency of Indonesia to diesel fuel import. Pertamina projected that the use of LNG in transportation sector and heavy equipment can reach 0,4 ton per year in 2015 and reach 1,3 ton per year in 2019 which will be used for excavators, plantation and long distance buses. The number itself will rise if train and ships also uses LNG. With the use of LNG, the volume of diesel fuel can be reduced to 0,9 million kilolitre in 2015 and about 3 million kilolitre in 2019.

The use of LNG for modes of transportation fuel have its own benefit. Aside of its efficiency, it is also eco-friendly because the gas emission is smaller compared to diesel fuel. Moreover, the safety level of LNG usage is guaranteed because it is stored in a normal pressure.