On October 27, 1945, President Sukarno established the Jawatan Listrik dan Gas (Electricity and Gas Bureau) under the Ministry of Public Works and Energy with a power capacity of 157.5 MW. At the same time, two state-owned companies were established: Perusahaan Listrik Negara (PLN) to manage the electricity sector and Perusahaan Gas Negara (PGN) to manage the natural gas sector. PGN was officially established on May 13, 1965. In 2018, PGN became a subsidiary of Pertamina. PGN has rebranded to become Pertamina Gas Negara on 10 December 2021.

PGN provides products and services tailored to the needs of customers ranging from residential and small business to commercial and industrial (business) customers as well as transportation customers. PGN has developed 360-degree solutions in all services from supply to use of natural gas such as supplying Electricity through its subsidiaries: Gagas Energi Indonesia, Peralatan Gas Bumi, Konsultasi Energi, and other support services.

The company owns and operates four transmission pipelines, including the Grissik-Duri pipeline (operating since 1998, 536 km long), the Grissik-Singapore pipeline (operating since 2003, 470 km long), the Medan and Jakarta/Bogor pipelines (operating since 2000, 536 km long), and the South Sumatera-West Java pipeline (1,116 km long).

In 2011, the company distributed 22.5 million cubic meters per day (795 million cubic feet per day) and transmitted 23.9 million m3/d (845 million cu ft/d) under standard natural gas conditions.