Prabowo Orders Streamlining of SOE Structures, Reviews B50 Biodiesel Progress

President Prabowo Subianto has instructed the management of state-owned enterprises (SOEs) to streamline their organisational structures by reducing management layers and the number of subsidiaries and sub-subsidiaries. The directive was delivered during a meeting with PT Pertamina (Persero) CEO Simon A. Mantiri at Prabowo’s residence in Hambalang, West Java, on Sunday (9/8/2026).

Cabinet Secretary Teddy Indra Wijaya, who uploaded a moment from the meeting to his Instagram account, stated that the streamlining is intended to accelerate decision-making, increase productivity, and maintain the overall efficiency of all SOEs. The meeting was also attended by Defence Minister Sjafrie Syamsudin, State Intelligence Agency (BIN) Chief Herindra, and State Secretary Prasetyo.

During the meeting, Simon also reported on the development of the B50 mandatory biodiesel programme, which involves a 50 percent blend of palm oil-based biofuel. The programme was previously launched by President Prabowo in July 2026. Simon further briefed the President on the readiness of infrastructure for the preparatory stages of a mandatory bioethanol programme currently being developed by the government. These directives form part of the administration’s broader efforts to reform governance and enhance the performance of state-owned companies.