Indonesian Political, Business & Finance News

Police Reveal Criminal Methods to Divert Subsidised Fuel and Melon Gas

| | Source: KOMPAS Translated from Indonesian | Legal
Police Reveal Criminal Methods to Divert Subsidised Fuel and Melon Gas
Image: KOMPAS

JAKARTA, KOMPAS.com - The National Police Criminal Investigation Agency (Bareskrim Polri) has uncovered the modus operandi of the misuse of subsidised Fuel Oil (BBM) and Liquefied Petroleum Gas (LPG), commonly known as melon gas, in 33 provinces, with potential state losses reaching Rp 1.2 trillion.

Director of Specific Crimes at Bareskrim Polri, Brigadier General Irhamni, explained that the perpetrators repeatedly purchase subsidised diesel at several public fuel filling stations (SPBU).

“Then it is stored or hoarded at depots and resold to consumers for industrial purposes at higher prices,” said Irhamni during a press conference at Bhayangkara Field, National Police Headquarters, Jakarta, on Tuesday (7/4/2026).

“They also collaborate with rogue SPBU staff to obtain subsidised BBM quotas; this is a common method used by perpetrators who often work with field SPBU personnel,” he revealed.

In the case of LPG, the perpetrators transfer the contents of 3-kilogram LPG cylinders to 12-kilogram and 50-kilogram cylinders, then sell them as non-subsidised LPG.

“This creates new employment opportunities for those with malicious intent who harm the public,” he clarified.

Deputy Head of Bareskrim Polri, Brigadier General Nunung Syaifuddin, stated that this revelation was made to prevent disruptions amid the energy crisis caused by global conflicts.

“The law enforcement actions carried out by Bareskrim Polri and regional police commands throughout 2025 and up to now in 2026 have revealed that crimes involving the misuse of subsidised BBM and LPG have caused potential state financial leakages of Rp 1,266,160,963,200,” said Nunung during the press conference at Bhayangkara Field, National Police Headquarters, Jakarta, on Tuesday (7/4/2026).

He detailed that the state losses from the misuse of subsidised BBM amounted to Rp 516,812,530,200, while those from subsidised LPG were around Rp 749,294,400,000.

“This is a significant figure; subsidies for these subsidised goods should be utilised or received by the underprivileged, but they are being misused. This is what we can secure to anticipate state financial leakages,” said Nunung.

View JSON | Print