ESDM Explains Reasons Behind Non-Subsidised Fuel Price Hike

The Ministry of Energy and Mineral Resources (ESDM) has addressed the recent increase in non-subsidised fuel prices. Ministry spokesperson Dwi Anggia stated that the price hike was the result of careful calculation. “The increase in non-subsidised fuel prices, not just Pertamax but also the Dex series previously, was unavoidable,” Anggia said in Jakarta on Thursday. Anggia explained that non-subsidised fuel prices follow a market price mechanism, with price components encompassing not only crude oil costs but also distribution expenses and other factors. “The government understands this price adjustment is not easy, but this step is necessary to keep the energy sector healthy, maintain supply, and prevent distortions in the national energy market,” Anggia continued. On the other hand, Anggia noted, President Prabowo Subianto has directed Energy Minister Bahlil Lahadalia to protect vulnerable groups and lower-income communities. One measure is ensuring that subsidised fuels such as Pertalite and subsidised diesel do not experience price increases. “The prices of Pertalite and subsidised diesel remain fixed, this can be confirmed. This is done to protect people’s purchasing power,” Anggia said. Anggia stressed that the government is also continuing to ensure the distribution of subsidised fuel is well-targeted according to its designation. The government, she added, is ensuring the availability of all fuel types remains secure so that the public has choices according to their respective needs and capabilities.