BUSINESS

PETRONAS GAS SEEKS GREATER AUTHORITY OVER DEVELOPMENT NEAR PIPELINES

31/08/2025 10:22 AM

By Siti Radziah Hamzah

KUALA LUMPUR, Aug 31 (Bernama) – Petronas Gas Bhd (PGB) is working closely with the Ministry of Economy to introduce new regulations under the Gas Supply Act 1993 (Act 501), the Electricity Supply Act 1990 and other laws to strengthen safety and oversight around its pipeline network.

PGB managing director and chief executive officer Abdul Aziz Othman said the regulations would give the company more authority over developments surrounding its right-of-way as part of lessons learned from the pipeline rupture in Putra Heights in April this year.

“These regulations will give us more authority over developments surrounding our pipeline corridors and, most importantly, assure communities living nearby.

“The Ministry of Economy called us to give input on enhancing these Acts and to share what we have learned from Putra Heights. What is important is that we learn from this incident,” he said when met recently. 

As part of this effort, PGB is also engaging with state governments to ensure better coordination and oversight, Abdul Aziz said, adding that some state governments, including Selangor and Negeri Sembilan, have agreed in principle to consider allowing PGB to have a seat in the planning committee.

“This will allow us to review proposed projects, assess impacts like water flow and earthworks, and even request conditions or stop-work orders if safety is compromised,” he said.

PGB operates the Peninsular Gas Utilisation (PGU) network, an approximately 2,623km high-pressure transmission system that transports gas from entry points in Kertih, Pengerang, Sungai Udang and Thailand to power plants, petrochemical industries and other users.

Abdul Aziz stressed that strengthening regulations is about preventing risks before they occur.

“We want to make sure that people cannot do things as they like around our right-of-way that would put our pipeline or the public at risk,” he said.

The renewed focus follows the Putra Heights pipeline rupture in April, which Selangor Menteri Besar Datuk Seri Amirudin Shari said was caused by soil subsidence that developed over the years, shifting the pipe by nearly 16 centimetres.

Laboratory analysis showed signs of fatigue and stress on the structure. Abdul Aziz said incidents such as the Putra Heights pipeline fire were rare, but it highlighted why planning and regulation matter.

“With closer collaboration between operators, regulators and states, we can ensure that critical infrastructure and communities grow side by side, safely,” he said.

-- BERNAMA

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