Energy Minister Urges Public Against Panic Buying Despite Rising Global Oil Prices

Jakarta — Energy and Mineral Resources Minister Bahlil Lahadalia has urged the public not to engage in panic buying or hastily purchase or stockpile fuel, particularly following reports of rising global crude oil prices due to conflict in the Persian Gulf region.

Bahlil explained that domestic fuel stocks remain sufficient and secure for public needs. “I recommend and request that there be no panic buying because our fuel stocks are indeed adequate. What the 21 to 25 days refers to is our storage capacity, but that comes and goes, our industry continues to operate, and our imports face no problems,” Bahlil said when met by journalists at the Presidential Palace in Jakarta on Tuesday.

Despite the crisis in Gulf states, compounded by Iran’s naval restrictions on the Strait of Hormuz, Indonesia’s fuel supply remains secure, Bahlil continued. “In the Middle East, we only import crude oil, whilst finished petroleum products we import from Southeast Asian countries and domestic production. So, there should be no need for panic buying,” he stated.

Bahlil also assured that subsidised fuel prices will not increase until Eid al-Fitr 1447 Hijrah, despite global crude oil prices having spiked beyond $100 per barrel. “The government discussed this with the Finance Minister yesterday, and I can assure you that regarding fuel subsidies, until Eid al-Fitr there will, God willing, be no price increases whatsoever. The state is present to ensure that even if global crude oil prices rise, subsidised fuel prices remain unchanged,” Bahlil stated.

Finance Minister Purbaya Yudhi Sadewa confirmed that budget allocation for fuel subsidies, particularly throughout Ramadan until Eid al-Fitr, remains secure. “We remain stable and strong. This price increase has only occurred over recent days. Our subsidies cover the full year. Our annual assumption averages $70 per barrel. This has only been happening for several days. So it is insufficient to alter our budget. We can still absorb it,” Purbaya said.