Bahlil Reveals 3 Strategies for Indonesia to Tackle Global Energy Crisis

Jakarta, CNBC Indonesia - Minister of Energy and Mineral Resources Bahlil Lahadalia has revealed three strategies to confront the current global energy crisis, during a limited meeting at Merdeka Palace on Monday (27/4/2026). The major strategies include optimising oil and gas lifting as well as developing E20 bioethanol fuel for petrol. “We have three things that we must do to face the world’s energy crisis now. The first is to optimise our lifting. The second is to seek diversification like B50. B50 reduces our imports. The third is that we must push for E for petrol, ethanol. E20 is part of one of the strategies,” Bahlil said after the meeting. On that occasion, Bahlil also reported that the stability of fuel oil supplies is still maintained despite geopolitical tensions in the Middle East region, including around the Strait of Hormuz. The same applies to crude oil supplies for refinery development needs, which are in a safe condition. “Our crude, in the context of refinery development, alhamdulillah, the stock is above the national minimum standard. So relatively, there are no problems,” Bahlil said. Bahlil also explained the government’s steps to reduce dependence on liquefied petroleum gas (LPG) imports. This is because national consumption currently reaches 8.6 million metric tonnes per year, while domestic production is only 1.6 - 1.7 million metric tonnes per year. The latest product proposed for development in the meeting includes producing compressed natural gas (CNG) domestically. “But this is still under discussion, I have to finalise it and this is one of the best alternatives for us to promote energy independence from the LPG sector that we can do,” he said. Another alternative being pursued is the construction of a Dimethyl Ether (DME) factory or gasification from low-calorie coal. Although this project, according to the General Chairman of the Golkar Party, is still in the groundbreaking stage. “If DME is just groundbreaking, but for CNG, some are already used for hotels, restaurants, that is already used in some places, SPPG is also already used, and the raw material is not imported, all domestic,” Bahlil said.