JAKARTA: Indonesia began cutting natural gas exports to Singapore by 31 billion British thermal units per day (BBTUD) from Oct 24, as President Prabowo Subianto’s government moves to prioritise domestic energy needs amid growing concerns over energy security.
The reduction affects gas supplied through pipelines from Natuna and Sumatra, and comes just days after Energy and Mineral Resources Minister Bahlil Lahadalia raised the possibility of halting gas exports to neighbouring countries.
Indonesia’s upstream oil and gas regulator SKK Migas said exports from Natuna would be reduced by 15 BBTUD, while another 16 BBTUD would be cut from supplies originating in Sumatra, Indonesian media reported on Oct 24.
SKK Migas chief Djoko Siswanto said the reductions would take effect on Oct 24, with the cuts in Sumatra coming from the Jambi Merang gas field.
“Starting tomorrow, we will reduce gas exports to Singapore by 15 BBTUD from Natuna and 16 BBTUD from Sumatra,” Djoko was quoted as saying on Oct 23, on the sidelines of an energy industry awards ceremony in Jakarta.
He added that the cuts would affect only Singapore because the relevant export pipelines were connected directly to the city-state.
The reduction is equivalent to about 8% of the pipeline gas Indonesia exported to Singapore in 2024, based on figures from the US Energy Information Administration. The agency said Indonesia exported about 4.11 billion cubic metres of gas to Singapore that year, although it remains unclear what proportion of current supplies the latest cuts represent.
Indonesia has been planning to reduce gas exports to Singapore for several years to meet growing domestic demand. In 2022, Jakarta agreed to extend gas supplies to Singapore until 2028, but at lower volumes than under the previous contract.
In April 2025, Djoko said Indonesia planned to cut gas exports from Sumatra to Singapore, while using supplies from Natuna to make up for the reduction, Reuters reported.
The following month, Indonesian energy company MedcoEnergi signed a gas swap agreement with Singapore buyers Sembcorp Gas and Gas Supply, among others, allowing more gas from Sumatra to be redirected for domestic use. The latest announcement, however, involves cuts from both Sumatra and Natuna.
The move also follows increasingly pointed remarks by Bahlil about the need to safeguard Indonesia’s energy resources and prioritise domestic consumption.
On Oct 21, Bahlil said the government was considering not renewing gas export arrangements with neighbouring countries, citing national energy security amid global geopolitical uncertainties.
“I am also perhaps thinking of not extending gas exports to neighbouring countries because we have to survive and meet domestic needs,” he told reporters after a Cabinet meeting in Jakarta.
On Oct 23, Bahlil said Indonesia currently exports about 30% of its natural gas production, while the remaining 70% is allocated for domestic consumption.
He said the government would review gas allocations to ensure more could be directed towards domestic industries, particularly the petrochemical sector, as Jakarta seeks to expand its downstream processing capabilities.
The reductions also follow warnings by Bahlil that Indonesia could stop exporting energy to countries that failed to show it mutual respect.
On Oct 22, he said Jakarta would review its energy export agreements with countries that did not respect Indonesia, although he did not identify any specific country or dispute.
“I will not hesitate to consider stopping exports to countries that do not respect Indonesia,” he said.
His remarks came after Prabowo likened Indonesia’s natural resources to blood, warning that a body could not survive if it continued to lose blood. The President urged ministers to ensure the country’s resources were used for the benefit of its people.
Singapore counts Indonesia among its main sources of natural gas, with existing import contracts due to expire at the end of 2028, Deputy Prime Minister Gan Kim Yong told Parliament in September 2025.
Separately, Indonesia and Singapore are pursuing plans for cross-border electricity trade, although negotiations over pricing remain unresolved. On Oct 19, Bahlil said the two countries had yet to reach an agreement on electricity exports because of differences over pricing. - Straits Times/ANN
