Indonesia accelerates coal-to-dimethyl ether to reduce LPG import dependence

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The Ministry of Energy and Mineral Resources (ESDM) is accelerating its energy downstreaming program, focusing on the development of coal-based dimethyl ether (DME) as an alternative to liquefied petroleum gas (LPG).Currently, Indonesia's LPG demand is still highly dependent on imports, with an annual increase of about 1.2 million tons, and demand in 2026 is expected to reach 10 million tons.

President Prabowo recently held a limited meeting at the Independence Palace to demand thatAcceleration of 18 downstreaming projects worth more than 600 trillion rupiahs(math.) genusTargeted to be operational by 2026The projects cover the fields of fisheries, agriculture and energy and minerals. These projects cover the fisheries, agriculture and energy and minerals sectors and are aimed atPromoting economic growth, job creation and substitution of importsThe

The chief executive of investment manager Danantara said it was beingComprehensive assessment of project feasibilityFocus onTechnical Capabilities and Project History(Previously 2022 withCooperation with Airborne Chemical Products of America had been interruptedDanantara candirect investment, but the exact amount has not been disclosed.

The government plans to reduce its dependence on imported LPG through DME production while boosting the domestic energy industry. Previously in January 2022, former President Joko had initiated the laying of the foundation stone of the coal-to-DME project in South Sumatra, but after the withdrawal of the U.S. investor, the government is working with theChina and other new partners discuss cooperationThe

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