Energy Minister Says DME is More Efficient than LPG

MINISTRY OF ENERGY AND MINERAL RESOURCES

THE REPUBLIC OF INDONESIA

PRESS RELEASE

NUMBER: 80.Pers/04/SJI/2022

Date: 19 February 2022

Energy Minister Says DME is More Efficient than LPG

Minister of Energy and Mineral Resources (EMR), Arifin Tasrif, said that the combustion efficiency of dimethyl ether or DME is better than that of Liquefied Petroleum Gas (LPG). Therefore, DME can be used as an alternative fuel in the energy substitution programs in Indonesia.

Arifin said that the oil and gas research and development center Lemigas completed 200 trials to arrive to the conclusion. "The heavy carbon fraction of LPG is left in the bottle, while that of DME can still be optimized. This is one of the advantages (of DME)," said Arifin in a work meeting with the Commission VII of the House of Representatives (DPR RI) in Jakarta on Thursday (17/2).

Arifin went on to say that the production of DME uses coal which has a calorific value of 3,800 kcal per kg not being utilized by PLN. "The production is carried out at mine mouth, so facilitating the transportation process," Arifin added.

The government has also calculated the economical price of DME to allow it to compete with LPG. There are a number of benefits the country can reap from DME substitution, such as utilizing natural resources, saving foreign exchange from a reduced number of LPG imports, and overcoming the issue of fuel scarcity.

Indonesia is building a downstream coal to DME factory in Muara Enim, South Sumatra. As much as 1.4 million metric tons (MT) of DME are projected to be produced per year from 6 million MT of low-calorie coal. The government hopes the DME project will create jobs for around 13,000 people during the construction phase, and as many as 12,000 new jobs for the downstream sector, which will be managed by Pertamina.

The downstream coal to DME project results from a collaboration between Indonesia and the United States, especially through Air Products & Chemicals Inc., PT Bukit Asam, and Pertamina. The government targets the company to realize USD15 billion of investment for the coal gasification industry and its derivatives in Indonesia.

In addition to DME, the Ministry of EMR has offered several alternatives to LPG substitution, including the installation of household gas networks and the use of electric stoves. (IY)

Head of Bureau of Communication, Public Information Services, and Cooperation

Agung Pribadi (08112213555)

Share This!