Oil Price at 100 USD, PLN Boss: This is a Wake-Up Call

JAKARTA, KOMPAS.com - The President Director of PT PLN (Persero), Darmawan Prasodjo, stated that the company currently still relies on domestic gas pricing policies to maintain the operational stability of power plants amid global energy price fluctuations.

He explained that the rise in world oil prices, now reaching 100 USD per barrel, is accompanied by an increase in the price of liquefied natural gas (LNG), which is one of the fuels for power plants.

“Regarding the geopolitical situation, this is a wake-up call. Oil prices recently touched above 100 USD per barrel. My apologies, but gas prices are correlated with international oil prices,” he said during a hearing with Commission XII of the House of Representatives (DPR RI) in Jakarta on Monday (13/4/2026).

“For today, thank God, the allocation from the government is sufficient so we don’t need to import LNG. But if we have to import, it would be burdensome,” he added.

He admitted that PLN is greatly assisted by receiving domestic gas allocations at fixed prices, so currently, there is no need to import LNG.

However, the company still needs to anticipate if extra LNG cargoes are required.

In addition to funding aspects, LNG sources must also be ensured because currently, every country is striving to secure energy supplies.

He mentioned that LNG production in Qatar, one of the main sources, has dropped by up to 5 million tonnes per year, and it is estimated to take 5 years to recover.

Nevertheless, he said that Indonesia has checked the LNG market in Japan-Korea, where supplies are still available, but the price is already at 19 USD per MMBTU.

“When we checked the Japan-Korea market, LNG is priced at 19 USD, thank God if we need extra cargo, it’s still possible for us to obtain it. But for today, thank God the allocation from the government is sufficient,” said Darmo.