Prabowo Aims to Convert Coal into Petrol, Bahlil Explains the Reasoning

The Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has disclosed the reasons behind President Prabowo Subianto’s ambition to produce petrol using coal as a raw material.

According to the Minister, this move is part of an effort to strengthen energy security amidst uncertain geopolitical conditions, ensuring that Indonesia can become free from fuel imports. In response to these conditions, the Ministry has been instructed to maximise Indonesia’s existing coal potential.

“The President’s directive regarding the production of gas or oil through coal stems from the thought that, in uncertain geopolitical conditions, President Prabowo has instructed us to optimise all existing energy potential in Indonesia. One of these is alternative energy from coal,” Bahlil stated at Balai Sudirman, Jakarta, on Monday, 21 September 2026.

“The goal is so that we no longer need to import, and our foreign exchange reserves can remain within the country. That is the essence of it,” he added.

Bahlil noted that coal processing technology has advanced to the point where low-calorific coal can be processed into oil. He mentioned that several Chinese companies have already submitted proposals for cooperation to develop this coal utilisation in Indonesia.

“In several countries, such as China, gas is already extracted from low-calorific coal. Several companies have approached us to establish partnerships. We know that our potential for low-calorific coal is immense. This is likely what the President intends,” he said.

Bahlil emphasised his commitment to following up on President Prabowo Subianto’s instructions to develop coal into oil.

“Therefore, as the Minister of Energy and Mineral Resources, I will follow up on every directive from the President regarding optimisation in order to maintain energy security by using domestic energy sources,” he asserted.

Previously, President Prabowo Subianto emphasised the importance of food and energy independence as the foundation for Indonesia to stand on its own strength and not depend on other nations, during a thanksgiving reception at the 100th anniversary of Pondok Modern Darussalam Gontor in Ponorogo, East Java, on Saturday, 19 September 2026.