Indonesian Political, Business & Finance News

Bahlil Highlights Misuse of Subsidised Fuel, Notes Modified Tanks Reaching 1 Ton

| | Source: REPUBLIKA Translated from Indonesian | Energy
Bahlil Highlights Misuse of Subsidised Fuel, Notes Modified Tanks Reaching 1 Ton
Image: REPUBLIKA

The Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has identified several causes behind the long queues for fuel refills in Makassar, South Sulawesi. According to him, the queues are driven by many middle-to-upper class individuals switching to subsidised fuel.

He also noted the practice of misusing subsidised fuel through vehicle modifications designed to store large quantities of fuel. Bahlability emphasised that the government will strengthen supervision to ensure energy subsidies remain accessible to those entitled to them.

Bahlil stated that the fuel requirements for private vehicles can fundamentally be met with reasonable refilling volumes. However, problems arise when subsidised fuel is taken in large amounts for specific interests.

“For cars such as an Avanza, 50 litres can cover a return journey of about 200-300 kilometres,” said Bahlil on the sidelines of InTech SEA 2026, Monday (14/09/2026).

He noted that different conditions may occur for transport vehicles such as trucks, which require more fuel. Nevertheless, Bahlil urged those deemed capable of paying not to take subsidised fuel intended for vulnerable communities.

“I urge our brothers and sisters who are capable, who drive nice cars, that we must act with empathy. We should not take the subsidy rights intended for our fellow citizens,” he said.

Bahlil also touched upon findings by the police regarding the alleged misuse of subsidised fuel in Makassar. He mentioned that certain vehicles have been modified with very large-capacity tanks to collect fuel.

“For example, in Makassar, there were Fortuners and trucks. It turns out that tanks were built in the back. Some hold up to one ton, others up to 700 litres,” he said.

According to Bahlil, these vehicles are suspected of intentionally queuing at filling stations to obtain large quantities of fuel. Such practices, he stated, are inconsistent with the objectives of energy subsidies.

“So they queue only to fill up for specific purposes. This is unfortunate. We should not do this to the people. This subsidy is for the common people,” he said.

To address this issue, Bahlil stated that the government has coordinated with the local government and the police in Makassar. Coordination is being conducted with the governor, the mayor, and the police to alleviate queues and prevent the misuse of subsidised fuel.

“In Makassar, we have worked together with the governor, the mayor, and the police to resolve this. And now, Alhamdulillah, it is starting to ease,” said Bahlil.

He ensured that the government will take the necessary steps to ensure that the distribution of fuel subsidies remains targeted. Bahlil did not detail the specific anticipatory measures the government will take, as he believes disclosing them beforehand could create loopholes for those intending to misuse the subsidy.

“We will take the necessary actions to ensure the subsidy remains on target,” he said.

Bahlil emphasised that the issue of subsidised fuel misuse needs to be a collective concern. He noted that the subsidies provided by the government are fundamentally intended to assist those in need, and excessive consumption for specific interests potentially reduces the rights of the intended recipients.

He also hinted that the government will increase anticipatory measures in other regions to prevent similar issues from developing. However, Bahlil chose not to publicly disclose the specific forms of anticipation currently being prepared by the government.

View JSON | Print