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[BUSINESS] · Indonesia · 7 sources

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Indonesia energy ministry coordinates fuel distribution and subsidy oversight

Indonesia's Ministry of Energy and Mineral Resources (ESDM) and BPH Migas are coordinating with the South Sulawesi provincial government to improve fuel (BBM) distribution and oversight. Officials met with Governor Andi Sudirman Sulaiman to evaluate energy supply dynamics and address local community needs.

Minister Bahlil Lahadalia addressed fuel distribution issues, noting that while national stocks remain stable at 16–18 days, long queues at gas stations are often caused by illegal activities. He cited instances where large vehicles collect subsidized fuel to resell at industrial prices and has called for law enforcement action.

To reduce reliance on imported LPG, the government is preparing compressed natural gas (CNG) as an alternative, which could be 30–40% cheaper. Additionally, the government aims to achieve full village electrification by 2029–2030, targeting approximately 11,000 currently unpowered villages with an annual budget of Rp 10–15 trillion.

Regarding leadership, Bahlil noted that any cabinet reshuffle involving the ESDM ministry remains the prerogative of President Prabowo Subianto, addressing rumors regarding potential replacements.

Entities

Andi Sudirman Sulaiman · BPH Migas · Bahlil Lahadalia · Laode Sulaeman · Ministry of Energy and Mineral Resources · Pertamina · Pertamina Patra Niaga · South Sulawesi