Indonesia's Energy Ministry Holds Fuel Subsidies, Plans Bio‑Ethanol Blends

Indonesia fuel subsidies Pertamax pricing bio‑ethanol blends ESDM

The Indonesian government, through the Ministry of Energy and Mineral Resources (ESDM), confirmed that subsidised fuel prices – pertalite at roughly 10,000 IDR per litre and biosolar at 6,800 IDR per litre – will not be raised in 2026 despite global oil price volatility. Minister Bahlil Lahadalia reiterated the decision after a meeting with President Prabowo Subianto, emphasizing that national fuel stocks remain above minimum standards.

At the same time, ESDM is reassessing the economics of the non‑subsidised premium fuel Pertamax. Deputy Minister Yuliot said the calculation will add Pertamina’s cost of production to a profit margin and may lead to a price cut if the average world oil price falls, noting that Brent crude slipped below $84 per barrel on 28 July 2026.

Separately, the ministry outlined a phased introduction of bio‑ethanol blends to curb fuel imports: an E10 blend is slated for 2027, followed by a mandatory E20 blend in 2028‑29, using domestically produced ethanol to reduce reliance on imported gasoline.

Entities

Bahlil Lahadalia · Balikpapan · Indonesia · Lembaga Minyak dan Gas Bumi (Lemigas) · Lemigas · Ministry of Energy and Mineral Resources (ESDM) · Pertamina · Prabowo Subianto · Russia · Yuliot

Claims

What the coverage asserts, and how many sources carry each claim.

[● 2 SOURCES] Subsidised pertalite price remains at approximately 10,000 IDR per litre and biosolar at 6,800 IDR per litre. dutatv.com · economy.okezone.com
[● 2 SOURCES] The Indonesian government decided not to raise subsidised gasoline (pertalite) and LPG prices. dutatv.com · economy.okezone.com
[○ 1 SOURCE] Indonesia will continue importing Russian crude oil through a government‑to‑government arrangement via Lemigas.
[○ 1 SOURCE] A shipment of 770,000 barrels of Russian crude worth about $75 million arrived at Balikpapan in June 2026.
[● 2 SOURCES] The ministry is evaluating the economics of the non‑subsidised Pertamax price and may lower it if average world oil prices fall. www.viva.co.id · www.antaranews.com
[● 2 SOURCES] Minister Bahlil Lahadalia discussed energy policy in a limited meeting with President Prabowo Subianto. dutatv.com
[● 2 SOURCES] Indonesia will introduce E10 gasoline in 2027 and a mandatory E20 blend in 2028‑29. www.viva.co.id
[● 4 SOURCES] World Brent crude oil price fell below $84 per barrel on 28 July 2026, a drop of more than 2 %. www.viva.co.id · www.antaranews.com · www.jpnn.com · economy.okezone.com
[○ 1 SOURCE] The bio‑ethanol blend plan is intended to reduce Indonesia’s gasoline imports. www.viva.co.id
[● 4 SOURCES] ESDM is calculating the economics of Pertamax and may adjust its price if average global oil prices decline. www.viva.co.id · www.antaranews.com · www.jpnn.com · economy.okezone.com
[● 2 SOURCES] Minister Bahlil Lahadalia said there will be no increase in subsidised fuel prices after meeting President Prabowo Subianto. dutatv.com · economy.okezone.com
[● 4 SOURCES] Deputy Minister Yuliot said Pertamax pricing will add Pertamina’s production cost plus profit, and may be lowered if global oil averages fall. www.viva.co.id · www.antaranews.com · www.jpnn.com · economy.okezone.com