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Indonesia prioritizes domestic energy and maintains subsidized fuel prices
The Indonesian government has committed to maintaining subsidized fuel prices despite rising global crude oil prices. Minister of Energy and Mineral Resources Bahlil Lahadalia stated that while the Indonesian Crude Price (ICP) has reached approximately USD 92 per barrel—exceeding the state budget (APBN) assumption of USD 70 per barrel—subsidized fuel costs will not increase through the end of 2026.
In a move toward energy sovereignty, the government is considering not renewing gas export contracts with neighboring countries to prioritize domestic demand. Minister Bahlil emphasized that Indonesia may halt exports to nations that do not demonstrate mutual respect or cooperation, noting a shift toward a “survival mode” to ensure national energy security.
Simultaneously, Indonesia is expanding its energy infrastructure and production. The government recently inaugurated the Mahakam Hub project, which is expected to increase gas production by 290 MMSCFD. Additionally, PT PLN Energi Primer Indonesia has begun supplying bio-CNG to the Belawan power plant in Medan to support the national energy transition.
Entities
Airlangga Hartarto · Bahlil Lahadalia · Bali · Indonesia · Mahakam Hub · Ministry of Energy and Mineral Resources · PT PLN Energi Primer Indonesia · PT Pertamina · PT Pertamina (Persero) · Prabowo Subianto
Claims
What the coverage asserts, and how many sources carry each claim.
- [○ 1 SOURCE] Fuel reserves in Bali are currently sufficient for 11 to 12 days. uzone.id
- [○ 1 SOURCE] Jember officials suggested using Surabaya as an alternative supply route to bypass Banyuwangi. gopos.id
- [○ 1 SOURCE] PT Pertamina increased fuel distribution in Jember to 700 KL per day. gopos.id
- [○ 1 SOURCE] Fuel distribution in Jember has returned to normal. gopos.id
- [○ 1 SOURCE] Bali extended the odd-even fuel purchase policy until October 23. uzone.id
- [● 5 SOURCES] Indonesia is considering not renewing gas export contracts to prioritize domestic needs. econotimes.com · economy.okezone.com
- [● 6 SOURCES] The government will not increase subsidized fuel prices. disway.id · transportasimedia.com · www.jpnn.com · ekonomi.republika.co.id · economy.okezone.com
- [● 5 SOURCES] The APBN assumption for crude oil price is approximately USD 70 per barrel. disway.id · transportasimedia.com · www.jpnn.com · ekonomi.republika.co.id
- [● 4 SOURCES] The government may halt gas exports to countries that are not cooperative. econotimes.com
- [● 5 SOURCES] The Indonesian Crude Price (ICP) is currently around USD 92 per barrel. disway.id · transportasimedia.com · www.jpnn.com · ekonomi.republika.co.id
- [● 2 SOURCES] The Mahakam Hub project will add approximately 290 MMSCFD to gas production. www.antaranews.com