Gas Supply to Singapore Cut, Bahlil Confirms Indonesia Is Not Breaching Contract
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The Indonesian government has cut the supply of gas sent to Singapore. Minister of Energy and Mineral Resources Bahlil Lahadalia stressed that the decision does not violate the contract agreed upon by both parties.
Bahlil explained that Indonesia continues to fulfill its obligations under the gas sales and purchase agreement. This statement was made in response to concerns that the reduction in supply could cause legal problems or trade relations issues with the partner country. The government wants to ensure that every step taken remains within the bounds of applicable rules.
Gas is one of the important energy sources for industry and domestic needs. Therefore, the management of gas exports is a concern for many parties. The government usually has to balance domestic needs with export commitments that have been signed previously.
To date, complete information regarding the technical reasons, the magnitude of the reduction, and the duration of the cut has not been explained in detail in this report. The public can keep following developments from the government and official news sources to learn about the continuation of the policy.
Sources: CNBC Indonesia
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