Indonesia Needs New Storage Capacity to Secure Three-Month BBM Reserves

Energy and Mineral Resources Minister Bahlil Lahadalia said that storage capacity limitations are the main challenge to increasing the national stockpile of fuel oil (BBM). He noted that Indonesia’s BBM storage capacity has long stood at a maximum of around 25 days. Consequently, the minimum national reserve standard sits in the range of 20 to 23 days. ‘I would like to stress that our BBM storage capacity has long been no more than 25 days — the maximum. Therefore, our national reserves are at least 20 to 23 days,’ Bahlil said, citing Antara, Wednesday 4 March 2026. He argued the public cannot simply demand storage to be expanded to 60 days without considering the available infrastructure capacity. The issue, Bahlil said, is not the availability of oil supply to fill, but the storage facilities’ limitations. ‘It’s not that we lack reserves to fill the oil, but where do we put it now? Our storage is not adequate,’ he said. Bahlil said that President Prabowo has given directions for the government to immediately build new storage facilities to strengthen national energy resilience. With the addition of such infrastructure, he said, the government aims to raise BBM reserves to three months in the future. Regarding potential locations for the storage development, Bahlil cited one of the best alternatives studied to be located in Sumatra. The government is now refining the next steps to realise the expanded storage capacity.