Bahlil proposes Rp815 billion budget for electric stove programme

Minister of Energy and Mineral Resources Bahlil Lahadalia has proposed a budget of Rp815.56 billion in the 2027 Draft State Revenue and Expenditure Budget for an electric stove programme intended to reduce dependence on imported LPG. “The energy we are promoting going forward is not only about LPG, but also electric stoves, CNG, and various others. What we have drawn up for the electric stove programme amounts to Rp815.56 billion,” Bahlil said during a working meeting with House Commission XII at the Parliament Complex in Senayan, Jakarta, on Monday. Bahlil explained that the electric stove programme aims to lessen Indonesia’s reliance on LPG imports. To implement the programme, Bahlil requested Commission XII, which oversees the energy and mineral resources sector, to identify which regions require electric stoves. “So that we can cooperate and synchronise,” Bahlil stated. In addition to electric stoves, Bahlil also proposed a budget allocation of Rp635.24 billion in the 2027 Draft State Budget for an electric motorcycle conversion programme. The budget will be managed by the Directorate General of New Renewable Energy and Energy Conservation at the Ministry of Energy and Mineral Resources. Both programmes are new initiatives for the 2027 Draft State Budget. According to his presentation, the proposed allocation can be adjusted based on budget availability. The discourse on transitioning from LPG stoves to electric stoves previously circulated during the presidency of Joko Widodo. However, in September 2022, state electricity company PT PLN cancelled the programme to convert 3-kilogramme LPG stoves to electric stoves in order to maintain public comfort during the post-COVID-19 economic recovery. Amid soaring energy prices triggered by the outbreak of conflict between the United States and Israel with Iran, Deputy Speaker of the People’s Consultative Assembly Eddy Soeparno again urged the government to transition from gas stoves to electric stoves. Eddy stated that switching from gas stoves to electric stoves requires lower costs compared to the funds disbursed for LPG import subsidies. Converting LPG stoves to electric stoves came under Eddy’s spotlight because LPG prices are also influenced by the increasingly skyrocketing global oil prices. “As is known, Indonesia imports 75 to 80 percent of its LPG needs, the price of which moves in line with crude oil prices,” Eddy said. Going forward, he added, he will support the government’s efforts to accelerate the electrification process, both in the transport and industrial sectors, as well as for cooking using electric stoves.