The Bali provincial government is planning to install a second liquefied natural gas floating storage and regasification unit (FSRU) offshore to improve the island's energy security, as Bali has long been dependent on power supplied from Java. However, the proposed location, just 3.5 kilometres off the coast of Sidakarya in southwest Bali, has generated significant local opposition.

Local Opposition and Concerns

Communities in the traditional fishing villages and tourist areas of Sanur and Serangan are leading a significant backlash against the project. They are concerned that the FSRU, which would be clearly visible from these areas and to travelers heading to the Gili and Nusa islands, will have a detrimental environmental impact and harm tourism. Residents fear the megastructure will spoil the natural landscape and are aware, through their own research, that other Indonesian FSRUs, such as those at Cilamaya and Lampung, are situated more than 20 kilometres from shore. Ida Bagus Sidharta Putra, representing the Sanur Development Foundation and the Indonesian Hotels & Restaurant Association, stated his opposition, citing inevitable social, cultural, environmental, and tourism impacts, and questioning the potential for marine pollution.

Pragmatic Stance and Conditions for Support

In contrast, the head of Serangan village, Wayan Patut, expressed a more pragmatic approach, acknowledging the project's potential to deliver more clean energy to Bali. However, his community's support is conditional. After consultations, the village stated it would approve the project only if the terminal's location is moved away from sacred marine protected areas and local fishermen's transit routes. Patut emphasized that the community is not anti-investment or anti-clean energy but insists that development must respect traditional, social, and environmental values. He specifically requested the terminal be moved approximately 1.3 to 1.5 kilometres northeast of the originally planned site.

Regulatory Dispute and Call for Involvement

A dispute exists over the proposed 3.5-kilometre distance, which was recommended by project supporters, including a senior Indonesian minister, who stated the safe distance should be measured from Serangan Beach. Patut argued that official state documents support this calculation and urged all parties to adhere to these regulations. Noting that the horizon is visible at about 4.7 kilometres, he questioned why the FSRU's location could not be slightly adjusted to avoid conflict with local customs and nature if the goal is truly to benefit Bali. He reiterated the community's desire to be actively involved in the consultation process to help ensure the investment is safe, conflict-free, and brings real benefits.

Existing LNG Infrastructure

Bali already has one operational FSRU-based LNG import project located at Tanjung Benoa, which began operations in 2016. The original unit was replaced after two years by the Karunia Dewata FSRU. This existing facility, a mini-FSRU operated by Jaya Samudra Karunia (JSK), has a storage capacity of 26,000 cubic metres and supplies up to 50 million cubic feet per day of gas to a 200-megawatt power plant on the island.