Fuel Price Hike: MUI Chairman's Response
The Chairman of the Indonesian Ulema Council (MUI), KH Anwar Iskandar, believes that the increase in non-subsidised fuel prices is not an issue, provided the government maintains the price of subsidised fuel used by lower-income communities.
According to Anwar, the government distinguishes between subsidised and non-subsidised fuel. Therefore, the rise in non-subsidised fuel prices is deemed unlikely to burden low-income groups.
“The important thing is not to raise the price of subsidised fuel, because the users of subsidised fuel are the common people; that should not be increased. But if it is for the wealthy, it is fine, as they can afford it,” Anwar stated in a video statement, as reported by CNBC Indonesia on Saturday (13/06/2026).
He also assessed that non-subsidised fuel prices in Indonesia remain relatively affordable compared to several other countries, including those in the Southeast Asian region.
In his view, fuel prices in several other nations are even significantly higher than in Indonesia. Consequently, he believes that users of non-subsidised fuel are still capable of absorbing the price increase.
“Try comparing it with abroad, such as Thailand or Singapore. Singapore reaches 42,000 [IDR]. We are only around 18,000-something; that is affordable. And that is for the wealthy—let the wealthy be, they cannot keep asking for cheap prices. It is actually cheap compared to overseas,” he explained.
Anwar also assessed that the impact of the non-subsidised fuel price hike on the wider economy would be relatively limited. He noted that a much larger impact would occur if price increases targeted fuel used for logistics and the distribution of basic necessities.
He explained that private vehicles using non-subsidised fuel do not have a significant influence on the price of goods and services in society.
“I believe that within the limits of what the wealthy can afford, there will be no impact. The impact is limited to this. It becomes impactful if, for example, petrol or diesel is used to transport goods. That would have an impact,” he said.
“As for passenger cars, what would the impact be? I believe the impact occurs if those vehicles are used to transport basic materials, food, or other necessities,” he added.