Indonesian Political, Business & Finance News

Not Rp19,000 per Cylinder, Purbaya Reveals the True Price of 3 kg LPG

| Source: CNBC Translated from Indonesian | Regulation
Not Rp19,000 per Cylinder, Purbaya Reveals the True Price of 3 kg LPG
Image: CNBC

Jakarta, CNBC Indonesia - Indonesian Finance Minister Purbaya Yudhi Sadewa has disclosed the true price of subsidised 3 kilogram (kg) Liquefied Petroleum Gas (LPG). The current LPG 3 kg product in circulation is effectively subsidised by the State Budget (APBN).

Purbaya noted that the government has been injecting substantial sums into covering the gap between the economically viable price of energy commodities and the price paid by the public through energy subsidies, including LPG 3 kg. “To date, the government has borne the gap between the economic price and the price paid by consumers through energy subsidies that are non-energy in nature,” Purbaya said during a working meeting with Commission XI of the DPR, as quoted on Saturday (7 March 2026).

Purbaya went on to illustrate that the true base price of LPG 3 kg is Rp 42,750 per cylinder. In contrast, LPG 3 kg distributed through Pertamina’s official stations to distributors is capped at Rp 12,750 per cylinder.

From this, the government provides a subsidy of Rp 30,000 per cylinder for LPG 3 kg. In addition to LPG 3 kg, the government also subsidises other fuel prices such as Pertalite and subsidised diesel.

So, what is the price of LPG 3 kg circulating at Agents and Bases?

Based on CNBC Indonesia observations as of 7 October 2025 at a LPG base in South Tangerang, the highest LPG 3 kg price remains Rp 19,000 per cylinder. This aligns with the Highest Retail Price (HET) set in South Tangerang.

For example, LPG Base Ayanih, South Tangerang, currently sells LPG 3 kg at Rp 19,000 per cylinder in line with government directives. “(LPG 3 kg) Rp 19,000,” said a base attendant.

Meanwhile, at the retailer or sub-base level, such as at Toko Jejen, the current price for LPG 3 kg is Rp 22,000 per cylinder, including delivery to the customer’s address.

“(LPG 3 kg) Rp 22,000, delivered,” said the shop attendant at the retailer.

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