Abdul Rahman Farisi Applauds Industrial Gas Price Policy

The Secretary for Economic Policy at the Golkar Party’s Central Executive Board, Abdul Rahman Farisi, has expressed appreciation for the government’s move to lower the price of Liquefied Natural Gas (LNG) for industrial needs from a range of US$20–23 per MMBTU to US$13 per MMBTU. According to him, the policy decided by President Prabowo Subianto through the Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, is a strategic step to maintain the competitiveness of national industry while protecting jobs. Abdul Rahman stated that the government’s decision demonstrates speed in responding to the aspirations of the business community, which has recently faced rising energy costs due to reduced piped gas supply in several industrial areas. “This policy is part of the government’s way of arranging the synchronisation of the fiscal and monetary policy mix to manage its impact, provide incentives, and simultaneously mitigate risks to all community economic activities,” said Abdul Rahman Farisi on Monday (29/6). According to him, energy costs are one of the main components in the industrial production cost structure. Therefore, the reduction in LNG prices will provide room for business actors to improve efficiency, maintain production continuity, and strengthen the competitiveness of Indonesian products amidst global economic uncertainty. He assessed that the government’s decision to set the LNG price at US$13 per MMBTU, lower than the initial proposal of around US$15–16 per MMBTU, reflects the government’s commitment to maintaining the investment climate and the sustainability of the real sector. On the other hand, the government is also maintaining the Certain Natural Gas Price (HGBT) policy in the range of US$6.5–7 per MMBTU for industrial sectors that meet the criteria. Abdul Rahman added that the policy not only benefits industry players but also has a positive impact on national economic stability. With more competitive energy costs, industry has room to maintain production capacity, retain workers, and suppress production costs so that public purchasing power can also be maintained. “This policy not only helps industry but also serves as a government instrument in maintaining economic stability. When production costs can be suppressed, the business world has room to continue expanding, retain workers, and make a greater contribution to national economic growth,” he said. According to Abdul Rahman, the government’s move also reflects synergy between energy sector policy and the national economic development strategy. Amidst global economic challenges, the government has chosen to provide targeted incentives so that production activities continue, investment keeps growing, and national industry becomes increasingly competitive.