Coordinating Minister Airlangga: Government Prepares Scenarios to Maintain Energy Stability
Jakarta (ANTARA) - Coordinating Minister for the Economy Airlangga Hartarto stated that the government is preparing various scenarios to maintain stability in the energy sector amid the dynamics of global oil prices.
“For fuel oil, we are still monitoring because the world oil price is moving dynamically,” said Airlangga during a press conference at the Coordinating Ministry for the Economy in Jakarta on Tuesday.
He explained that the current movement in world oil prices is in the range of $90 to $120 per barrel and is still influenced by global conditions.
“It seems to be in that price range of $90 to $120 per barrel, after which it drops again to around $100,” he said.
According to him, these fluctuations are influenced by various factors, including geopolitical tensions that make energy prices difficult to predict.
Airlangga emphasised that the government is not setting a single fixed scenario, but rather preparing flexible policies in line with developments in the situation.
“The important thing is that we have scenarios to maintain, and these scenarios are dynamic in nature,” he stated.
He said that this approach is necessary so that the government can respond to changes in energy prices quickly and in a measured manner.
In addition, the government is monitoring the realisation of energy purchase prices, which do not always follow the highest prices in the global market because they use average purchase prices.
This approach is considered to help keep the energy subsidy burden under control amid fluctuations in world oil prices.
On the fiscal side, the government is also allocating energy subsidies and compensation in the 2026 state budget to maintain people’s purchasing power and economic stability.
The government is also promoting the strengthening of domestic energy through the implementation of the biodiesel programme and new renewable energy (EBT).
“The implementation of B50 on 1 July and the acceleration of the EBT programme are expected to save diesel or solar purchases by Rp48 trillion,” said Airlangga.
According to him, the development of alternative energy is an important part of reducing dependence on imported energy.
In addition to maintaining prices and supply, the government is also preparing policies to support energy availability, including through adjustments to trade policies.
Airlangga mentioned that one of the steps being prepared is the reduction of import duties on Liquefied Petroleum Gas (LPG) to maintain domestic energy supply.
“Some of the steps being prepared include reducing import duties on LPG to 0 per cent from 5 per cent,” he said.
He emphasised that all these policies are designed to maintain a balance between energy price stability, supply resilience, and the country’s fiscal condition.