Bahlil Says Sumatra Is One of the Best Alternative Locations for Building Fuel Storage

JAKARTA — The government is preparing several alternative locations for the construction of storage facilities for fuel (BBM), following President Prabowo Subianto’s order to expand domestic storage capacity.

Energy and Mineral Resources Minister (ESDM) Bahlil Lahadalia revealed that one of the best alternative sites is in Sumatra.

‘We plan that one of the best alternatives for the storage development is in the Sumatra region,’ he said at the Presidential Palace Complex, Central Jakarta, on Wednesday (4 March 2026).

Through the development of storage facilities, Indonesia can hold national energy reserves for up to 90 days, or three months.

He did not deny that, to date, limited storage capacity has been one of the challenges that must be addressed promptly.

‘So we cannot say, friends think we must stock 60 days. Where would we fill it? We have no storage. That’s why now the President’s instruction is for us to urgently build storage. So it’s not that we do not have reserves to fill the oil. But now where to put it?’ he continued.

He further explained that the facilities are needed so that Indonesia is far more resilient to the impact of global conflicts on energy supply.

On the other hand he assured that national energy supplies remain in a safe condition to date, even though escalation in the Middle East has heightened since the weekend.

‘If up to now it has not been disrupted. But going forward, of course if the war lasts a long time it will have an impact. That is for sure. Up to 1-2 months ahead, Insha Allah we are still clear. Insha’Allah there will be no problem,’ he stated.

One way to achieve this is by diversifying sources of crude oil imports.

‘So when it comes to LPG there is no problem. It is relatively clear. When it comes to the fuel we import, it’s only petrol. And we buy that in Southeast Asia, not in the Middle East. So relatively Insha’Allah clear,’ he concluded.