Indonesian Political, Business & Finance News

East Kalimantan Spending Controversy: Governor Returns Rp8.5 Billion Luxury Official Car

| | Source: BNA | Politics

Public backlash prompts reversal of Range Rover purchase for official duties

East Kalimantan Governor Rudy Mas’ud has reversed a controversial government purchase after public criticism erupted over the acquisition of a luxury official vehicle valued at billions of rupiah.

Luxury Car Purchase Sparks Backlash

East Kalimantan Governor Rudy Mas’ud has decided to return an official vehicle worth Rp8.5 billion, approximately S$680,000, after strong public criticism over the purchase. The decision was announced on March 2 through the governor’s official Instagram account.

In his statement, Rudy said he carefully considered public feedback before deciding to return the car. He also apologised for the controversy, stressing that a responsible government must listen to citizens’ concerns.

Range Rover Never Used for Official Duties

According to Muhammad Faisal, head of the East Kalimantan Communication and Information Agency, the vehicle was purchased in November 2025 but had remained in Jakarta and was never used for government operations.

The car, a Range Rover 3.0 Autobiography LWB, has now been returned to the dealer after the provincial administration contacted the company and explained the situation.

Governor Defends Initial Decision

Rudy previously defended the purchase by stating that governors are allowed to have two official vehicles under a 2006 Home Ministry regulation. The rule permits one sedan with a maximum engine capacity of 3,000 cubic centimeters and one SUV or jeep up to 4,200 cubic centimeters.

He also said the vehicle was chosen to support field operations and to reflect East Kalimantan’s status as the host province of Indonesia’s new capital city, Nusantara.

Critics Question Budget Priorities

The purchase sparked widespread criticism as many residents questioned the use of public funds for a luxury vehicle during a period of government austerity.

Regional administrations have faced tighter budgets after the central government reduced transfers in 2025 and maintained spending limits in the 2026 state budget.

Calls for Regulatory Reform

Some critics argued that the money could have been better used for public services such as road repairs, healthcare, or education. Others said the justification of maintaining the region’s image was insensitive given current economic challenges.

Ahmad Irawan, a member of the House of Representatives Commission II, has urged the Home Ministry to revise the 2006 regulation governing official vehicles to ensure future purchases prioritize practicality and regional financial capacity.

The controversy surrounding East Kalimantan’s luxury vehicle purchase highlights growing public scrutiny over government spending and accountability in Indonesia. As regional leaders face tighter budgets and rising public expectations, decisions involving public funds are increasingly subject to transparency and debate, reinforcing the need for policies that balance operational needs with fiscal responsibility.

Sources: Straits Times (2026) , The Jakarta Post (2026)

Keywords: Rudy Masud Vehicle Controversy, East Kalimantan Governor Car, Range Rover Autobiography LWB, Regional Budget Debate, Indonesia Public Spending

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