Sleman. Indonesia plans to build 160,000 new household natural gas connections in 2026 as the government accelerates the expansion of compressed natural gas (CNG) distribution networks to reduce reliance on imported liquefied petroleum gas (LPG) and support the country's energy transition.

Deputy Energy and Mineral Resources Minister Yuliot Tanjung said the government aims to expand household gas networks across Java, Sumatra and Kalimantan, with projects prioritized in areas located near existing gas supplies.

"We are targeting 160,000 household connections in various cities in 2026," Yuliot said during a visit to a household gas network project in Sleman, Yogyakarta, on Friday. "The tender process will be accelerated, and the government is preparing a much larger target of up to one million connections in the following years."

The government expects the household gas program to achieve broader implementation by 2028, expanding access to cleaner energy while helping reduce the fiscal burden from Indonesia's LPG subsidy program.

Indonesia has long relied on subsidized 3-kilogram LPG cylinders for household cooking needs, while the country continues to import significant volumes of LPG to meet domestic demand. Expanding piped natural gas networks is seen as a way to curb imports, lower subsidy costs and improve energy security.

State-owned gas distributor PT PGN has implemented a CNG cluster system in Sleman that delivers compressed natural gas at pressures of up to 200 bar. Before the gas reaches households, the pressure is reduced to approximately 0.5 to 1 bar through a Pressure Regulating Station (PRS), ensuring safe use for cooking and other domestic purposes.

Officials said the safety system allows high-pressure gas to be transported efficiently while maintaining low-pressure distribution at the household level.

The pilot project in Sleman is being viewed as a potential model for wider implementation in regions where pipeline infrastructure remains limited.

Residents using the network say the system offers greater convenience than traditional LPG cylinders because gas is supplied directly to homes.

Bambang Prakoso, a resident of Karangasem Santren in Depok district, Sleman, said he has used the household gas network since November 2024.

"The convenience is very helpful," Bambang said. "Since using the service in 2024, we have not experienced any safety problems in our neighborhood."

He said the network eliminates concerns about running out of gas late at night or early in the morning when households need to cook.

Bambang also urged the government to keep household gas tariffs affordable, particularly for lower- and middle-income consumers.

The government sees the CNG cluster model as one solution for expanding access to cleaner energy in areas not yet connected to major gas pipelines. Officials say broader adoption could support Indonesia's energy transition goals while reducing dependence on subsidized LPG imports and easing pressure on the state budget.

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