PLN expands gas, LNG network to support rising renewables

Gas is the stabilising force that lets the grid absorb more variable output.

A gas and liquefied natural gas (LNG) infrastructure is being expanded alongside Indonesia’s renewable rollout, as the grid increasingly relies on fast, flexible power to support intermittent supply, according to state utility PT Perusahaan Listrik Negara (Persero) or PLN.

“PLN is sharpening its focus on gasification as a structural pillar of the energy transition, positioning gas and LNG as essential enablers of a renewable-dominated grid,” Evy Haryadi, PLN director of technology, engineering and sustainability, told Asian Power. He described the approach as twin-track: accelerating renewables whilst building enough gas support to keep the system stable.

Evy said gasification is a system-critical element rather than a stopgap. As solar and wind rise, he said, flexibility becomes the limiting factor, and gas provides the stabilising force that lets the grid absorb more variable output.

PLN data show gas-fired plants produced 25 terawatt-hours of electricity in the first nine months, underscoring their role in smoothing supply swings.

Under Indonesia’s 2025–2034 Electricity Supply Business Plan, 76% of capacity additions will come from renewables. PLN warns, however, that progress will stall without firm gas support.

“Our renewable ambition requires a reliable foundation,” Evy said. “Gas is that foundation until large-scale storage becomes widely available and economical.”

Declining domestic pipeline gas supply is also shaping PLN’s strategy, pushing the utility to depend more on LNG to maintain system adequacy.

Through its fuel arm PLN Energi Primer Indonesia (EPI), the utility is developing a nationwide LNG ecosystem built around floating storage and regasification units, pipelines, CNG carriers and receiving terminals.

The existing infrastructure includes 700,000 cubic meters of LNG storage and regasification capacity of 1.3 billion cubic feet per day.

Evy cited LNG’s mobility, which lets PLN serve outer islands that lack large onshore facilities. Indonesia’s archipelagic layout, she said, demands portable energy solutions; LNG helps PLN shift diesel-powered grids to gas and run gas-based microgrids.

Alongside gas expansion, PLN is modernising its grid to handle deeper renewable penetration. The utility is introducing wide-area monitoring, automated controls, predictive analytics and battery systems to curb variability risks.

Even so, PLN maintains gas will remain the operational backbone during the transition.

“Renewables will lead our future mix, but a stable grid still needs dispatchable power,” Evy said. “Gas gives us controllability that solar and wind cannot yet provide at scale.”

Gasification is also contributing to emission cuts. PLN recorded 43.7 million tons of cumulative CO₂ reductions from 2022 to 2025, helped by a shift from diesel to gas in priority regions.

Evy said gasification is a practical way to cut emissions today, whilst preparing the system for a higher share of renewables.

As PLN advances its Green Enabling Super Grid—designed to move large volumes of renewable energy across corridors of up to 1,846 kilometers—the utility sees gas as essential for balancing flows across distant islands.

“Gasification is not a detour—it is the bridge,” Evy said. “Without it, Indonesia cannot move into a high-renewable future at the speed we need.”