Indonesian Political, Business & Finance News

Phased Implementation of Electric Stoves to Replace LPG Urged

| Source: TEMPO_ID_BISNIS Translated from Indonesian | Energy

Executive Director of the Center of Reform on Economics (CORE) Indonesia, Mohamad Faisal, is urging that the implementation of electric stoves as a substitute for 3-kilogramme LPG cylinders be carried out in stages. According to Faisal, if the government immediately enforces the policy on a large scale, there is a risk the programme will miss its target, fail to gain public acceptance, and potentially collapse. “There must be stages. So I think there needs to be a pilot project first and it should not be distributed in large numbers,” Faisal said after attending a discussion at INDEF GTI at the Pullman Hotel, Jakarta, on Wednesday, 17 June 2026.

Previously, Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia proposed a budget of Rp 815 billion for the electric stove procurement programme. Bahlil believes the programme could be one solution to reduce Indonesia’s dependence on LPG imports, which have been burdening the country’s foreign exchange reserves and subsidy budget. According to Bahlil, Indonesia remains heavily reliant on LPG imports. Currently, around 80 per cent of national LPG demand is met through imports. “At the current Indonesian Crude Price (ICP) level, the foreign exchange spent on purchasing LPG is above Rp 130 trillion. The subsidy is above Rp 80 trillion,” Bahlil said at the parliamentary complex on Monday, 15 June 2026.

Bahlil explained that the electric stove procurement programme would be implemented gradually. The government is currently studying the use of electric stoves that can be operated in households with electricity capacity below 900 volt-amperes (VA), so they can be utilised by communities down to the sub-district and village levels. Responding to the plan, Faisal reminded the government to learn from the electric stove trial conducted in 2022. According to him, this programme requires thorough socialisation before being widely implemented.

Nevertheless, Faisal acknowledged that no energy transition programme can be executed instantly. He cited the kerosene-to-LPG conversion programme, which took years before it was accepted by the public. According to Faisal, the implementation of electric stoves must target community groups that are truly ready to adapt to technological changes and the use of different cooking equipment. Therefore, its application needs to be gradual and segmented. “That is why I said this should be segmented. In certain communities and among groups that can indeed adjust to changes in cooking appliances and are more educated. So I think this must be done slowly, ensuring no mismatch occurs. We must not let the industry be ready to supply while the public cannot easily adopt it,” he stated.

In 2022, the government previously promoted an electric stove conversion programme to replace subsidised LPG. The pilot programme targeted 1,000 beneficiary families in Bali and 1,000 households in Solo, Central Java. Before joining the programme, the beneficiaries used 3-kilogramme LPG cylinders for their daily cooking needs. PLN selected Bali and Solo as trial locations because both were hosting a number of important agendas for G20 member countries, which at the time were also discussing the transition to green energy. However, the electric stove conversion programme was halted at the end of September 2022. PLN’s plan to expand the programme by distributing 300,000 electric stoves to several other regions, such as Sumatra, West Java, and Jakarta, was ultimately cancelled. At the time, PLN stated the cancellation was made to maintain public comfort amid the post-Covid-19 economic recovery process. Additionally, the electric stove conversion programme sparked polemic and debate within the community.

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