Airlangga Ensures Indonesia's Energy Supply Is Secured from Sources Outside the Middle East

Jakarta — Coordinating Minister for Economic Affairs Airlangga Hartarto has said Indonesia has secured its energy supply from diverse sources outside the Middle East, as a mitigation measure amid the Iran–US–Israel conflict. He explained that several energy supply alternatives arise from trade agreements with the United States, and Pertamina’s access in Venezuela. ‘In terms of energy, because we happen to have signed the ART (Agreement of Reciprocal Trade), our energy supply also has an MoU with the United States, and Pertamina has access in Venezuela,’ Airlangga told reporters in the Tanah Abang area of Central Jakarta on Thursday, 5 March 2026. He added that the government continues to monitor the unpredictable global developments. Airlangga admitted that Indonesia is currently better prepared to face uncertainty, learning from energy price spikes caused by the Russia–Ukraine conflict. He noted that the situation can be viewed from two sides. On the one hand, the government needs to safeguard energy subsidies to avoid burdening the public. But on the other hand, rising commodity prices can also boost government revenue. ‘On one side, subsidies are something we protect, and the budget is prepared to be a buffer to dampen price volatility. But on the other hand, there will be additional revenue if commodity prices rise,’ he said. Nevertheless, he deemed it too early to forecast the full impact of Middle East dynamics on the economy. ‘We will monitor the situation; it is still too early to tell,’ he said. Moreover, Airlangga assessed that the uncertain global environment makes investors reluctant to expand, so economic resilience becomes increasingly important. ‘This is what we must push because the new world will cause all investments to reassess and hold back, and in such conditions resilience is paramount, including in the economy,’ he said.