Sustainability
For Our Earth

Driving the Clean Energy Transition

As the Gas Subholding, PGN plays a crucial role in supporting the government's policy for clean energy, emission reduction in the energy sector by 2035, and achieving net zero-emission target by 2060. PGN actively contributes to the development of a sustainable national economy and the transition to low carbon energy use, as an effort to address the challenges of global climate change.

Here are PGN's strategic steps toward NZE:

Addressing Climate Change Challenges

The Company recognizes that climate change can impact the environment as well as its operational and production activities in the future. In response, the company continuously conducts internal risk analyses that may arise and takes the necessary mitigation steps.

PGN has adopted various methods to manage risks or opportunities related to climate change, including:

Water and Effluent Management for Sustainable Operations

PGN does not require water in carrying gas distribution and transmission activities. However, water is used in small quantities for maintenance purposes, such as cleaning pipes, equipment, and other infrastructure. Additionally, water is used for domestic needs at the head office and operational support facilities of PGN, so that water withdrawal and consumption data show relatively similar values. Although the use of water for maintenance is limited, PGN still prioritizes water use efficiency and ensures that its activities do not have a negative impact on the environment.

Optimizing Energy, Sustaining the Earth

PGN is continuously improving energy efficiency while supporting the sustainability of the company's operations. In 2024, the total energy consumption for the distribution of natural gas reached 1,456,924.09 GJ. The energy intensity in2024 was 2,22 GJ/MMSCF, which decreased by 14% compared to the energy consumption intensity in 2023.

As part of energy conservation initiatives, PGN has started utilizing renewable energy by installing solar panel systems at several gas distribution and transmission stations, as well as office areas.

Reducing Emission Footprints, Preserving Air Quality

Responsible Waste Management

Waste management is carried out through various methods, such as reduction, recycling, reuse, or responsible disposal. Based on its nature, PGN generates two types of waste: hazardous and toxic waste and non-hazardous waste.

PGN's commitment to managing hazardous waste is reflected in its HSSE Policy, which prioritizes pollution prevention through the application of the 4R principles: reduce, reuse, recycle, and recover.

Biodiversity as The Source of Life

PGN conducts biodiversity conservation assessments through the Biodiversity Action Plan (BAP) process, following a hierarchical approach based on references from the International Union for Conservation of Nature (IUCN). This approach is outlined in the Guidelines for Developing a Biodiversity Action Plan (BAP) to Achieve Net Positive Impact (NPI), Document No. A04-008/S00000/2022-S9. The BAP is designed to protect and manage biodiversity within a specific area or ecosystem.

PGN demonstrates its dedication to environmental and biodiversity conservation through internal initiatives and external programs. These programs are part of its corporate social and environmental responsibility efforts, as regulated under Minister of State-Owned Enterprises Regulation No. PER 05/MBU/04/2021 on Corporate Social and Environmental Responsibility Programs for State-Owned Enterprises. PGN also ensures the fulfilment of its No Net Loss (NNL) target by monitoring the biodiversity index (Shannon-Wiener Index) across all critical locations.

PGN also runs external environmental conservation programs as part of its corporate social and environmental responsibility.