New Gas Pipeline Guidelines: Navigating Reserve Capacity Obligations

In order to implement the mandated technical guidelines for the transportation of natural gas through pipelines, the Downstream Oil and Gas Regulatory Agency (Badan Pengatur Hilir Minyak dan Gas Bumi – “BPH Migas”) previously issued Regulation No. 15 of 2008 on the Joint Utilization of Natural Gas Transportation Facilities Through Pipelines (“Facilities”), which was amended by Regulation No. 21 of 2019 (collectively referred to as “Regulation 15/2008”).[1] In essence, Regulation 15/2008 addressed the governance of and procedures for the utilization of Facilities, as well as the various rights and obligations of shippers and transporters.