Indonesian Political, Business & Finance News

MPR Leader: Government's Affirmation on Fuel Prices Has Positive Impact

| Source: ANTARA_ID Translated from Indonesian | Energy
MPR Leader: Government's Affirmation on Fuel Prices Has Positive Impact
Image: ANTARA_ID

Jakarta (ANTARA) - Deputy Chairman of the MPR RI, Eddy Soeparno, stated that the government’s affirmation that fuel oil (BBM) prices will not rise amid the Middle East conflict has a positive psychological impact on the public.

Eddy, as per a statement received in Jakarta on Wednesday, said that the affirmation delivered by Minister Secretary of State Prasetyo Hadi on Tuesday (31/3) also dispelled rumours that had spread on social media.

“The psychological impact of the government’s decision to maintain overall BBM prices is very positive. This decision nullifies the various rumours circulating on social media in recent days that have unsettled the public, leading to queues at several petrol stations (SPBU) to refuel,” he said.

He views that President Prabowo Subianto has worked hard and succeeded in finding a way out so that global crude oil price fluctuations do not weaken domestic purchasing power, especially for BBM consumers.

Nevertheless, he advised that in the future, the government must always be alert and vigilant in maintaining BBM supplies, considering that oil and gas products are currently akin to scarce commodities contested by many parties.

According to him, major BBM-importing countries dependent on supplies from the Middle East, such as China, India, Japan, and South Korea, will seek alternatives from other countries.

“Especially India, Japan, and Korea, which rely heavily on imported energy needs, even over 70 percent. As a result, Indonesia will compete with other countries to secure their respective energy supplies,” he stated.

The situation during the COVID-19 pandemic can serve as an example, when vaccines with limited production became the most needed item worldwide. As a result, Eddy said, many countries were willing to buy at high prices to save their citizens.

“The same story could repeat for BBM because all countries in the world are striving hard to avoid an energy crisis that could paralyse the economy and cause social unrest,” he said.

“Therefore, I hope we have reliable oil and gas import supplies, given that reliability of supply is now more important than availability of supply,” Eddy added.

He further stated that the current global energy crisis is the right momentum for Indonesia to strengthen its energy resilience through energy transition, energy conservation, electrification, and de-dieselisation of power plants.

“In addition to reducing our dependence on imported energy, Indonesia will also optimise the abundant potential of clean and renewable energy we have domestically,” Eddy concluded.

Previously, Minister Secretary of State Prasetyo Hadi stated that the government ensures that fuel oil (BBM) prices, both subsidised and non-subsidised, will not increase.

Prasetyo on Tuesday (31/3) said the decision was taken after the government coordinated with the Ministry of Energy and Mineral Resources (ESDM) and PT Pertamina, in line with President Prabowo Subianto’s directives.

“The President always prioritises the interests of the people and society in making decisions. Therefore, Pertamina has stated that it will not adjust prices for either subsidised or non-subsidised BBM,” he said.

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