You are on page 1of 25

INDONESIAS NGV INDUSTRY STATUS & APCNGI ROLE IN THE INDUSTRY

Presented by Robbi R. Sukardi, Secretary General APCNGI

April 2012

CONTENTS :
APCNGI Profile Indonesias CNG-NGV Industry Status APCNGI and KANGV role to participate in Indonesias rising NGV industry

GO GREEN

APCNGI Profile

GO GREEN

APCNGI PROFILE : APCNGI or Asosiasi Perusahaan Compressed Natural Gas Indonesia or Indonesias Association of CNG Companies was established in 2009. APCNGI Vision & Objective: APCNGI aims to serve the need and collaboration of CNG Station owners , CNG fleet operators, CNG manufacturers, CNG equipment suppliers, CNG consultants, CNG installation & engineering, government representatives, nongovernmental organizations, CNG focus groups, and other companies/institution involve and interest on the CNG industry through continuous promotion and support on the use of natural gas as a safe, environmentally friendly, and alternative fuel in Indonesia.
GO GREEN

APCNGI Missions: 1. Develop the CNG industry that meets a national and international safety standards. 2. To serve as a forum for members to deliver their aspirations regarding the CNG business. 3. To improve coordination among members and governments to create a fair, competitive, and good corporate governance CNG business practice. 4. To increase the professionalism standards among members on every aspect of their CNG business. 5. As an effective communication media and promotion. 6. As a partner for the government to formulate a legislation and enforcement efforts related to the CNG Industry. 7. As a formal representative for Indonesias CNG companies to affiliate with international association/organization in the CNG industry.
GO GREEN

CNG Consultants & Engineers

CNG Cylinders Suppliers

CNG Operators

CNG Station Manufacturers

Industrial Energy

CNG Transporters

Natural Gas Supplier

Natural Gas Pipeline

CNG On-line Station

CNG Trucking Fleets


CNG Converter Kits Instalator

Daughter Stations

Natural Gas Vehicles

Natural Gas Vehicles

Organizations

Scope of APCNGI Members

Focus Groups

GO GREEN

APCNGI members consists of : 22 Established CNG Mother Stations 5 Plan Development CNG Mother Stations + 300 units CNG Skids module + 60 MMSCFD CNG Production Supply 5 CNG Manufacturers & Equipment Supply 4 CNG Converter Kits Instalator 2 CNG Consultant

1 APCNGI CNG Mother Station 1 APCNGI Conversion Workshop 1 ESDM CNG Mother Station 2 ESDM CNG Daughter Stations *

14 APCNGI CNG Mother Station ** 3 APCNGI Conversion Workshop 7 APCNGI Transporters 2 ESDM CNG Mother Station *

12 APCNGI CNG Mother Station *** 5 APCNGI Conversion Workshop. 5 APCNGI CNG Transporters. 10 Pertamina CNG Station 1 Pertamina Mother Station * 4 Pertamina Daughter Stations *

GO GREEN

APCNGI ACTIVITIES :

Discussion Forum with Indonesias Legislative Senator

Collaboration with ANGVA Yearly Seminar

Seminar & Training

CNG Equipments & Supply Trade Shows

GO GREEN

APCNGI ACTIVITIES :

CNG Bus Transjakarta Road Trip

Site Visit Trips to APCNGI members CNG Stations

Press Conference

CNG Delivery Support to DKI Transjakarta Bus

GO GREEN

GO GREEN

Indonesias CNG-NGV Industry Status

GO GREEN

WHERE INDONESIA IN THE DEVELOPMENT STAGES


1989 - 1992 1986 -1987

Master Planning

Commercialization

2006

2012 1988 -1989 2007

Pilot Programme
1990 - 1992

Market Development
2012

2005 -2007

Regulatory Enactment

NGV Developed

2011

2006-2007

Public Awareness

Mature Market

2011

GO GREEN

What are Indonesias NGV Success Factor & Challenges?


SUCCES FACTORS 1. Availability of abundant natural gas reserves 2. Infrastructure 3. Pricing Policy 4. Availability of funds 5. Market Awareness & Acceptance 6. Industry & Regulator Body Support
+ + + + + + + + + +

CHALLENGES
+ + + + + +

GO GREEN

Availability of abundant natural gas reserves


Energy fuel
Oil

AVAILABLE
Year Dimished

Total Reserve

Proven

2004 Production

Coal

Indonesia has the largest supply of natural gas among its South East Asia neighbor countries In 2006 gas production was recorded at 8,280 MMSCFD. In 2007, gas production increase to 8,901 MMSCFD of which 37% for domestic and 63% for export. In 2009 is estimated that over 10,000 MMSCFD will be produce.
Source: BP Migas and Indonesia Petroleum Report 2005-2006 and Department Mines & Energy Indonesia Energy Blue Print Report & 2009 Data Report

Infrastructure Infrastructure

NOT ENOUGH & NOT WIDELY SPREAD

BLUEPRINT PENGELOLAAN ENERGI NASIONAL 2005 2025 Dept. ESDM

GO GREEN

Pricing Policy

MUST BE ECONOMICALLY MARKET DRIVEN


ECONOMIC / PRICE FACTORS POLICY HOLDER

NATURAL GAS AT WELL (INDONESIAN GOVERNMENT)

Countrys natural gas availability Worlds natural gas price Market demand size

Parliament/Legislator Approval Central Government (President) Local Government

EXPLORATION & PRODUCTION (NATURAL GAS PRODUCER)

Onshore vs. Off shore Economics of scale size of the well Natural gas composition Capacity & size of refinery facility Tender process priced obtain

Department of Mines & Energy BP Hulu (Upstream) Migas Companys Shareholder & BOD

TRANSPORT (PIPELINE OWNER)

Economics of scale size transported Distance to targeted area Difficultness to transport area Tender/contract price obtain

Department of Mine & Energy BP Hilir (Downstream) Migas Companys shareholder & BOD

COMPRESSION (STATION OWNER)

Volume of pressure obtain Compression ability (fast vs. slow fill) Location of the station Power supply availability Gas composition Supply gas purchase

Companys shareholder & BOD

GO GREEN

AVAILABILITY OF CAPITAL AVAILABILITY OF FUNDS ROI factors to be considered


MacroEQUIPMENT INVESTMENT Economy & Political Stability Factor:

available
WITH CONDITIONS
Volume Pressure Obtain Compression ability compressing stages

fast or slow fill / # of dispenser gas or electric driven

Availability of power supply

Worlds financial crisis occurred in 2007-2008 had not affect much or without gas dryer Gas composition with of the countrys economy. Past years, DEVELOPMENT LAND2& CIVILthe Indonesia federal reserve bank (Bank Indonesia) has continued to lower its treasury interest rate (SBI).
Land Size large vehicles or small vehicles Location Owned or Rent

CERTIFICATION & APPROVAL

Local banks are currently liquid.

Certification Approval - Migas or Depnaker

Local Government Approval Rupiah currency has indicate stable and strong positioning this past weeks.

GAS SUPPLY Industry and Market Demand Factor:


o

Presidential election proceeded swiftly and safelyor Pertamina or other PGN with minor disruption.
Contract terms Power supply Rupiah or USD base electric or gas bill

CNG OPEATIONAL COST NGV market still has a lot of potential growth market Filling Station and the Government regulation to support and to promote the use of NGV exist. Gas supply from PGN is available. PROFIT MARGIN
Return on Investment Taxes Cost of money high or low leverage IRR and Payback period

Return on Investment Factor:

GO GREEN

MARKET AWARESS & ACCEPTANCE


Although,

LOW ACCEPTANCE

Indonesian society are becoming more concern for a cleaner and friendly environment as well are more aware of global warming threat whereby petrol fuel emission contributes the most pollutant for the city air. Bike to Work Group. Closing of Jakartas city main road during every weekend morning.

However,
In terms of their choices of fuel, majority will choose cheapest price and practical. Vehicle owner will be willing to fill CNG fuel but are hesitant to buy the converter kits. Not only vehicle owner will be willing to convert their vehicles if converter kits are cheap or free but also if it is practical to fill CNG fuel in every 5 km radius.

Most of people in Jakarta understood CNG only as the fuel for the TransjakartaBusway and some taxis owner. In other cities outside Jakarta in fact do not realize CNG can be an alternative fuel for vehicles and that mostly understood natural gas are pipeline gas for industrial usage and misunderstood between CNG and LPG are different commodities.

GO GREEN

INDUSTRY & REGULATORY BODY SUPPORT

GROWING SUPPORT

The NGV industry is gaining a lot of support from DKI Provincial Government commitment in using CNG as their choice of fuel for its Transjakartas busses. The NGV industry is receiving real action implementation from the Department of Transportation through the distribution of converter kits for public transportation in cities like Jakarta, Surabaya, Bogor, Palembang, and other cities to come. Provincial governments and county governments regulatory support on CNG. The Indonesian Government within the past 6 (six) months have communicate through media and indicate it will enforce the usage of CNG as an alternative fuel for the public sector transportation. NGV groups like KANGV and APCNGI establishment and presence have and will continue strengthen the NGV market growth in Indonesia also increase public awareness on new CNG technologies and CNG safety issues.

GO GREEN

APCNGI and KANGV role to participate in Indonesias rising NGV industry

GO GREEN

Sharing APCNGI members profile and database, sharing CNG members business developments, sharing members experience and knowledge on CNG business in Indonesia, and promoting public awareness on KANGV and APCNGI cooperation. Develop a business cooperation with KANGV that members of APCNGI can obtain enough information on Koreans CNG equipments and products with a possibility of a flexible but credible financing scheme. Established a strategic program between KANGV and APCNGI on a NGV collaboration projects in Indonesia.

Share knowledge on how the private companies in Korea excel in promoting and developing the use of CNG as an alternative fuel for transportation. Assist APCNGI on the basic technical knowledge of Koreans NGV technology and related facilities, as well an understanding of the design, operation and maintenance for CNG station. Educate on the conformity of safety standards used in Koreans CNG equipments and CNG Station engineering design. Act as a liaison between APCNGIs members and KANGVs members for future NGV collaboration projects.

GO GREEN

CNG On-line Station

CNG Trucking Fleets

Daughter Stations

Natural Gas Vehicles

Natural Gas Vehicles


INDONESIA NGV INDUSTRY

NGV COOPERATION PROJECTS DEVELOPMENT

CNG Cylinders Suppliers

CNG Station Manufacturers CNG Cylinders Testing Facilities CNG Operators

CNG Consultants & Engineers

NGV Monitoring Systems Training Workshop CNG Converter Kits Instalator

CNG Transporters

GO GREEN

APCNGI-KANGV POTENTIAL COLLABORATION MARKETS:


Medan
Large Busses: 2913 unit Medium Busses: 4275 unit Small Busses: 9734 unit Public Transport: 9758 unit Taxi: 104 unit

SUMATERA

Batam
Taxi: 2938 unit

Dumai
Public Transport: 479 unit

Jambi
Large Busses: 3104 unit Small Busses: 2287 unit Public Transport: 1038 unit Taxi: 30 unit

Pekanbaru
Large Busses: 8255 unit Public Transport: 600 unit Taxi: 472 unit

Palembang
Large Busses: 468 unit Small Busses: 504 unit Public Transport: 2082 unit Taxi: 114 unit

GO GREEN

JAVA
Kab. Tangerang Cilegon
Public Transport: 261 unit Large Busses: 162 unit Small Busses: 2465 unit Public Transport: 3671 unit Taxi: 3399 unit

Kota Bekasi
Large Busses: 264 unit Medium Busses: 211 unit Public Transport: 1732 unit Taxi: 3100 unit

Kab. Bekasi
Large Busses: 46 unit Public Transport: 1589 unit Taxi: 1287unit

Serang
Public Transport1002 unit

Kota Tangerang
Large Busses: 89 Unit Small Busses: 300 unit Public Transport: 2461 unit Taxi: 3698 unit

DKI Jakarta
Large Busses: 2809 unit Medium Busses: 7821 unit Small Busses: 26002 unit Public Transport: 2576 unit Taxi: 19827 unit

Kota Cirebon
Large Busses: 363 unit Medium Busses: 136 unit Small Busses: 146 unit Public Transport: 979 unit Taxi: 60 unit

Kab. Cirebon
Public Transport: 1440unit

Kab. Gresik
Public Transport: 288 unit Taxi: 40 unit

Kab. Karawang
Taxi: 1890 unit

Kota Surabaya
Large Busses: 463 unit Public Transport: 6247 unit Taxi: 3996 unit

Kota Bogor
Large Busses: 239 unit Medium Busses: 73 unit Small Busses: 4529 unit Public Transport: 3459 unit

Kota Depok
Large Busses: 157 unit Medium Busses: 46 unit Small Busses: 568 unit Public Transport: 2880 unit Taxi: 4072 unit

Kota Bandung
Large Busses: 192 unit Medium Busses: 12 unit Small Bus: 12 unit Public Transport: 5521 unit Taxi: 1201 unit

Kab. Bogor
Large Busses: 79 unit Medium Busses: 68 unit Small Busses: 657 unit Public Transport: 1351 unit

Kab. Mojokerto
Public Transport: 412 unit

Kab. Sidoarjo
Large Busses: 307 unit Medium Busses: 144 unit Small Busses: 1535 unit Public Transport: 1426 unit Taxi: 130 unit

Cimahi
Small Busses: 402 unit Public Transport: 1289 unit

GO GREEN

THANK YOU

Asosiasi Perusahaan CNG Indonesia (APCNGI) Secretariat Office Address: Graha CNG. JL. Tebet Timur dalam II No. 35 Jakarta 12820. Indonesia Telp.: +62-21-8319878; Fax: +62-21-8291391 Website: www.apcngi.or.id

GO GREEN