Indef: Adjustment of Non-Subsidised Fuel Prices Aligns with Global Oil Prices

JAKARTA – Director of Development at the Institute for Development of Economics and Finance (Indef), Eko Listiyanto, described the adjustment of non-subsidised fuel prices as a reasonable step in a market-based energy system, particularly amid the trend of rising global oil prices. Eko stated that this mechanism reflects price movements that follow international dynamics. “In general, the increase in non-subsidised fuel is quite high for consumers, although the calculation is also based on the current high international oil prices,” Eko said when contacted by Republika in Jakarta on Sunday (19/4/2026). From a macroeconomic perspective, Eko assessed the impact of the non-subsidised fuel price increase as relatively limited. Eko emphasised that the segment of users of this type of fuel is not very large, so its influence on the overall economy and industrial sectors remains minimal. “From the consumption side, consumers of that type of fuel are actually relatively small, so the overall impact on the economy and industry is still minimal,” he said. Nevertheless, Eko warned that this price increase has the potential to drive changes in consumer behaviour. Users of non-subsidised fuel, he said, are likely to start considering alternatives with lower octane numbers (Research Octane Number/RON) to reduce spending. “So, it will certainly make consumers accustomed to using that type of fuel at least start considering non-subsidised fuels with lower RON, such as Pertamax,” Eko added. Eko also mentioned that the adjustment of non-subsidised fuel prices will be felt by consumers, especially in large-volume purchases. This situation could accelerate the shift to fuels with lower RON as a form of household budget adjustment. “However, given the quite high increase, generally for large consumption, such as a full tank, consumers are very likely to switch to lower RON,” Eko said.