The construction of the PGU pipeline commenced in 1983, marking a significant shift for industries from oil and coal to gas.
WITH over 40 years of operational experience, PETRONAS Gas Berhad (PGB) remains committed to providing continuous and reliable gas supply access to the nation through the Peninsular Gas Utilisation (PGU) pipeline, a key component of Malaysia’s energy infrastructure.
The PGU is a 2,675km pipeline network that transports gas to Malaysia’s power sector and various industries across Peninsular Malaysia and Singapore.
With four entry points – Kertih in Terengganu, Pengerang in Johor, Sungai Udang in Melaka and Thailand, the extensive network plays a crucial role in ensuring a steady flow of natural gas to support the country’s energy needs and economic growth.
At its height, natural gas powered up to 80% of Peninsular Malaysia’s electricity generation, playing a crucial role in fuelling the nation’s economic growth.
Today, natural gas contributes approximately 40% of the power generation fuel mix in Peninsular Malaysia – underscoring its continued importance in the national energy landscape.
Beyond electricity, natural gas is also a key energy source for Malaysia’s non-power sectors.
More than 1,900 industrial and commercial customers across the country rely on gas for their operations including manufacturing, petrochemicals, fabricated and basic metals, food processing and others.
This widespread use highlights the enduring relevance of gas as a cleaner, reliable and flexible fuel supporting Malaysia’s transition towards a more sustainable energy future.
The PGU network transports gas to Malaysia’s power and petrochemical plants, and various industries across Peninsular Malaysia.
The construction of the pipeline commenced in 1983, marking a significant shift for industries from oil and coal to gas. This transition has had a positive environmental impact.
As one of the cleaner fossil fuels, natural gas has contributed to a reduced carbon footprint in power generation and other industrial sectors.
By providing a reliable source of cleaner energy, the PGU contributes to the sustainability and environmental goals of Malaysia.
The pipeline was constructed in phases, with PGU 1 commencing its operations with gas-in from Kertih to Teluk Kalong, Terengganu in 1983, delivering the first sales gas to power and industrial customers.
The initial phase laid the foundation for subsequent expansions, which were necessary to meet the growing demand across the rest of Peninsular Malaysia.
Stage two of the PGU network was officially inaugurated in 1991, connecting Teluk Kalong to Plentong in Johor. This phase expanded the pipeline’s reach, enabling the distribution of gas to a broader base of industrial, commercial and residential users.
The successful completion demonstrated the potential of the PGU network to support Malaysia’s energy needs effectively. PGU 3, completed in 1998, further expanded the network from Meru to Pauh, adding 450km of pipeline.
The expansion was designed to support Peninsular Malaysia by ensuring efficient supply of natural gas to meet growing energy demands and supporting economic development in the region. The PGU network is currently operated from the PETRONAS Gas Control Centre, located in Segamat, Johor.
This facility ensures continuous operations and monitoring, managed by PGB’s technical personnel.
PGB also implements ongoing technical integrity management programmes in line with international standards accepted by regulators in Malaysia, that ensure the safe and reliable operation of its assets. At present, the pipeline has the capacity to transport more than 2,500 million standard cubic feet of gas per day.
Looking ahead, PGB is dedicated to continuously operating in a safe and responsible manner, maintaining its operational excellence and upholding the nation’s energy security.
The PGU network has been the backbone of expanding energy access during Malaysia’s era of industrialisation and PGB will continue to meet the country’s evolving energy needs, in alignment with the government’s National Energy Transition Roadmap.
