PROPOSED PROJECT STRUCTURES FOR SMALL-SCALE LNG INFRASTRUCTURE DEVELOPMENT IN PT PLN (PERSERO)

• Main Author: Dwi Astila, Septiani
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/48711
• Institution: Institut Teknologi Bandung

PT PLN (Persero) is an Indonesia state-owned enterprise (Badan Usaha Milik Negara/BUMN) engaged in power supply business for public needs. Government assigned them for the development construction acceleration program of 35,000MW including the development of 12,400 MW gas fired power plant by 2028 and converting 52 diesels fueled to gas fired power plants. These assignments execution and considering Gas Supply Zoning makes small-scale LNG (SSLNG) such as Cluster Bangka Belitung Pontianak and Cluster LNG Papua Bagian Utara, are develop to be one of options to implement its strategy of improving efficiency of primary energy management especially gas utilization. SSLNG project development within PLN is basically providing integrated downstream gas infrastructure for electricity business, which is involving non-traditional LNG-Gas distribution value chain and affecting to the role of parties in addition to the conventional LNG business. Considering its difference business process but adjacency to electricity business, before SSLNG development conducted, procurement and contract draft shall formulate proposed project structure as their partners’s business model. In order to resolved the issue, the analysis in this research are including both external and internal environments to identify how they would affect the SSLNG projects by PLN and what resources required to maximize internally. For this purpose, author use PESTEL Framework, Value Chain Analysis and SWOT analysis. The strategic formulation is conduct to identify the best strategy for the development of SSLNG project and suggested project structure to be enforced which conducted by using Business Model Canvas. Considering the business activities and licensing required, PLN need to create project structure which can fundamentally affect the value chain, minimum duplication of efforts and overlaps as well as aligning the licensing required for the operation. The project structure is to be initiated through procurement process where PLN can control the objective of SSLNG project in its strategy implementation. By implementing this project structure in its procurement, PLN has the opportunity to control the gas supply business chain in its electricity project.