Indonesia's Pertamina adjusts fuel prices amid subsidy reforms

PT Pertamina Patra Niaga announced a new price schedule for non‑subsidised fuels that takes effect in July 2026. Prices for products such as Pertamax Turbo, Dexlite, Pertamina Dex and Avtur were reduced, with Pertamax Turbo falling from Rp20,750 to Rp19,300 per litre and Pertamina Dex dropping about 15 %. The adjustment was described as a regular review based on global oil price movements and was coordinated with the government. "Penyesuaian harga BBM nonsubsidi mengacu pada dinamika harga pasar minyak dunia dan mengikuti regulasi atau mekanisme yang berlaku," said Kitty Andhora, Vice President of Corporate Communication at Pertamina Patra Niaga.

Earlier, in June, the government raised the price of Pertamax (RON 92) from Rp12,300 to Rp16,250 per litre and lifted Pertamax Green (RON 95) to Rp17,000 per litre to curb fiscal pressure after a surge in world oil prices linked to geopolitical tensions in the Middle East. Dr Satya Widya Yudha of the National Energy Council warned that the move was needed to prevent the state from continuously absorbing rising energy costs. The hike prompted many consumers to switch to the subsidised Pertalite (RON 90) sold at Rp10,000 per litre, creating long queues at stations and temporary supply strain. Analysts cite the episode as evidence of inefficiencies in Indonesia’s blanket fuel‑subsidy system, with the World Bank urging a shift to targeted cash‑transfer assistance for low‑income households.