Indonesian Political, Business & Finance News

BPH Migas and law enforcement seal petrol station in Jember over alleged subsidised fuel diversion

| Source: ANTARA_ID Translated from Indonesian | Regulation
BPH Migas and law enforcement seal petrol station in Jember over alleged subsidised fuel diversion
Image: ANTARA_ID

Jakarta — The Downstream Oil and Gas Regulator (BPH Migas) together with law enforcement officials have sealed a petrol station in Jember District, East Java, following the discovery of alleged misuse of subsidised fuel.

“The station has been temporarily sealed after suspected misuse of subsidised fuel was discovered,” said BPH Migas Head Wahyudi Anas in Jember, as confirmed in Jakarta on Sunday.

BPH Migas Head Wahyudi Anas, accompanied by Deputy Chair of Commission XII of the Indonesian House of Representatives Bambang Haryadi, Deputy Head of Jember Police Station Kompol Ferry Dharmawan, and Pertamina Patra Niaga Malang Representative Alam Kanda Winali, discovered the alleged misuse and several irregularities in subsidised fuel distribution at the petrol station following a public complaint about suspicious activities.

The investigation revealed that whilst the petrol station received an average delivery order of 16,000 litres, its throughput (the amount of fuel dispensed) reached up to 22,000 litres per day, with transactions predominantly involving recommendation letters for consumer use.

“The Jember Police Station is conducting further investigation into the alleged purchase of subsidised fuel and irregularities in the transaction process that do not conform to the established regulatory procedures. The petrol station’s CCTV system was also found to be inactive,” Wahyudi stated.

During the law enforcement process, BPH Migas will ensure fuel supply in the surrounding area remains adequate, particularly ahead of Eid al-Fitr. “The quota allocation will be transferred to the nearest nearby petrol stations so that the public can purchase subsidised fuel. The public need not panic and can continue to purchase subsidised fuel as needed through neighbouring stations,” Wahyudi said.

The alleged misuse came to light following BPH Migas’s socialisation on the issuance of recommendation letters for consumer use in Jember the previous day. “The scheme involved exploiting recommendation letters. This is important, which is why it has been immediately examined and handled by the local police for further investigation,” Wahyudi explained.

BPH Migas has urged all petrol stations to prioritise public service in accordance with regulations so that state subsidies reach eligible recipients, thereby increasing public income and fostering regional economic growth.

“BPH Migas, Pertamina Patra Niaga, regional governments and law enforcement will continue to coordinate to ensure that the purchase of state-subsidised fuel using recommendation letters for consumer use is carried out in accordance with regulations,” Wahyudi said.

Deputy Chair of Commission XII Bambang Haryadi described the alleged misuse of subsidised fuel as a serious violation as it harms the public entitled to receive energy subsidies. He called on the public and media to assist in identifying those behind the fuel misappropriation.

“Let us together, friends in the media, monitor who is behind this theft,” he stated.

Meanwhile, Deputy Head of Jember Police Station Kompol Ferry Dharmawan said police were continuing their investigation to determine whether criminal elements were present in the case.

View JSON | Print