Amid Escalating World War Threats, Prabowo Instructs Bahlil to Do This
President Prabowo Subianto has issued a special mandate to the Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, regarding the storage of oil domestically. The construction of these facilities will be carried out promptly to strengthen energy resilience amid the ongoing global geopolitical dynamics, including the war in the Middle East that continues to widen.
“I have already reported to the President, and the President has instructed us to build it immediately. Why? Because we need survival. If we talk about survival, we must truly identify the core issue and resolve it swiftly. Otherwise, we will remain dependent,” said Bahlil when met at the Ministry of ESDM on Thursday (5/3) last.
Bahlil explained that the investment for building the facilities is already available, and investors are ready to support it. The tanks to be built will be designated for storing crude oil.
With the availability of crude oil reserves, the processing into fuel (BBM) can be carried out through existing refineries.
“If it is indeed needed to build for BBM, that is actually at the refineries. We just need to ask Pertamina’s refineries to add more tanks,” said Bahlil.
On 12 March 2026, the Director General of Oil and Gas (Migas) of the Ministry of ESDM, Laode Sulaiman, revealed that they would collaborate with the private sector in the construction in Sumatra. This approach aims to increase the national energy reserve capacity to three months.
“It was mentioned yesterday in the Sumatra region. Then, for the construction process, it is not limited only to Pertamina but can also involve other business actors,” said Laode.
The scheme of private sector involvement in energy facility development is not new. Several oil storage facilities are known to involve parties other than Pertamina.
“This has already been conveyed that currently, what is available is up to 23 days, so we will build additional capacity up to 90 days, as mentioned by the Minister previously. That’s it,” he said.
Bahlil once stated that the national oil storage capacity can only support needs for 20-25 days. The construction of the storage facilities is intended to provide Indonesia with sufficient space to store large quantities of oil.
Regarding the feasibility study for the project, it is currently underway. It is targeted to commence this year.
“Our storage must be built first. For a minimum of three months. If we import a lot, where will we put it? That’s the fact, it’s no one’s fault,” said Bahlil during a press conference at the Ministry of ESDM on Monday (9/3) last.
Previous Prabowo Administration Plans for Oil Storage Development
Previously, the Prabowo administration had planned to build refineries and oil storage tanks (oil storage) in various regions. The construction projects are spread across 18 areas: Lhokseumawe, Sibolga, Natuna, Cilegon, Sukabumi, Semarang, Surabaya, Sampang, Pontianak, Badung (Bali), Bima, Ende, Makassar, Dongala, Bitung, Ambon, North Halmahera, Fakfak.
This plan follows the submission of 18 pre-feasibility study (pre-FS) documents related to downstream projects from the Downstreaming Task Force led by Bahlil to Rosan Roeslani, CEO of the Investment Management Agency (BPI) of the Nusantara Future Fund (Danantara).
This project, based on the Ministry of ESDM’s presentation, is included in the priority list for national energy resilience with an investment of Rp 232 trillion. This consists of refinery projects worth Rp 160 trillion, which will absorb 44,000 workers, and oil tank projects worth Rp 72 trillion for 6,960 workers.