Logistics Transport Using Subsidised Fuel to Curb Pertamax Domino Effect, Says Energy Ministry

Jakarta (ANTARA) - The Ministry of Energy and Mineral Resources (ESDM) has stated that logistics and public transport continue to utilise subsidised fuel to suppress the domino effect caused by the price increase of Pertamax.

“At the very least, the domino effect can be minimised. For example, public transport and logistics services still use fuel that is subsidised by the government,” said the Spokesperson for the Ministry of ESDM, Dwi Angka, when met at the Ministry of ESDM Office, Jakarta, on Thursday.

Therefore, according to Anggia, the domino impact from the increase in non-subsidised fuel prices, such as Pertamax and Pertamax Green, can be minimised.

“If we are honest and do not take advantage of the situation, the impact of this increase in non-subsidised fuel prices will certainly be minimal,” Anggia added.

The Secretary General of the Indonesian Young Entrepreneurs Association (HIPMI), Anggawira, estimates that the logistics industry, transport, goods distribution, field services, construction, plantations, and micro, small, and medium enterprises (MSMEs) with high mobility levels will experience a direct increase in operational costs.

For this reason, HIPMI is urging the government to prepare various mitigation measures to maintain business competitiveness.

Efforts that can be undertaken, according to him, include strengthening the efficiency of the national logistics chain, accelerating the development of energy and transport infrastructure, and providing incentives for significantly affected productive sectors, particularly labour-intensive industries and MSMEs.