Government Has Not Yet Decided on Fuel Price Rise

Coordinating Minister for Economic Affairs Airlangga Hartarto said the government is still monitoring developments in the conflict between the United States and Israel and Iran. This also includes considerations about the closure of the Hormuz Strait, which could push up fuel prices. ‘Geopolitics—we will just watch; this is a war that has only lasted a few days, we will monitor how long it lasts,’ Airlangga told reporters at his office in Central Jakarta on Tuesday, 3 March 2026. Airlangga said the government is monitoring the impact of the Hormuz Strait closure. He added the government will first look at movements in oil prices before determining next steps. Regarding the possibility of increases in fuel and subsidised LPG if world oil and gas prices continue to rise, Airlangga said decisions will be aligned with the evolution of the war and global energy prices. He said policy responses will depend on whether the conflict is short-lived or prolonged, such as the Russia-Ukraine war. Regarding aviation fuel imports amid the crisis, Airlangga noted there is a memorandum of understanding (MoU) between Pertamina and several companies. He did not detail technical aspects of the cooperation. Despite rising tensions between the United States and Iran, Airlangga stressed Indonesia remains safe amid the turbulence.