House Commission VI Supports Upgrading KDKMP to Official LPG 3 kg Bases

Jakarta (ANTARA) - The House of Representatives Commission VI has requested that the Village/Subdistrict Red and White Cooperatives (KDKMP) be upgraded from sub-distributors to official bases for 3 kg LPG to strengthen their revenue sources and business sustainability. This support was one of the conclusions of a working meeting between Commission VI and the Ministry of Cooperatives in Jakarta on Wednesday.

Commission VI member Darmadi Durianto stated that the status upgrade is crucial to create a sustainable revenue stream for KDKMP. He argued that the government must ensure the cooperative business model can cover operational costs once all KDKMP are running. He estimated monthly operational costs, including manager salaries, electricity, and vehicle operations, could reach between Rp50 million and Rp100 million, necessitating an adequate income source.

Darmadi assessed that distributing 3 kg LPG is a potential revenue stream. ‘We ask the President and the Ministry of Energy and Mineral Resources to make KDKMP into gas bases. If there is no revenue stream, there is nothing else,’ he said. He added that retail margins are relatively small, so cooperatives require a large sales volume to cover operational costs without relying on government support.

Responding to the proposal, Minister of Cooperatives Ferry Juliantono expressed government support for upgrading KDKMP’s status to official 3 kg LPG bases. He explained that several subsidised commodities are projected to become the main revenue sources for KDKMP. For subsidised fertiliser, the cooperative already has a legal basis to act as a distributor. ‘For subsidised fertiliser, because there is already a Presidential Regulation, the Red and White Village Cooperatives can receive it directly from PT Pupuk Indonesia,’ he said.

The government is also preparing the distribution of SPHP rice and Minyakita cooking oil through the KDKMP network. ‘Indeed, the best revenue stream is when subsidised goods are distributed through the Red and White Village Cooperatives, because that becomes their main income as well,’ Ferry stated. According to data from the KDKMP Management Information System (Simkopdes), as of mid-July 2026, the cooperatives’ transaction value in 2026 had reached approximately Rp56.77 billion from 54,326 transactions. For 3 kg LPG, 25,825 transactions were recorded with a value of around Rp484.37 million. The data also shows that subsidised fertiliser remains the commodity with the largest transaction value, with NPK Phonska fertiliser at around Rp15.09 billion and Urea fertiliser at around Rp11.27 billion.