Indonesian Political, Business & Finance News

South Kalimantan Governor Instructs Eradication of Fuel Distribution Malpractices

| | Source: MEDIA_INDONESIA Translated from Indonesian | Regulation
South Kalimantan Governor Instructs Eradication of Fuel Distribution Malpractices
Image: MEDIA_INDONESIA

The Governor of South Kalimantan, Muhidin, has instructed the Fuel Task Force to eradicate thuggery and malpractices in the distribution of subsidised fuel within the region. Long queues for subsidised diesel (bio-solar) continue to occur at petrol stations across various areas in South Kalimantan.

In response to this issue, the South Kalimantan Regional Police held a limited coordination meeting attended by Governor Muhidin and representatives from PT Pertamina Patra Niaga Kalsel Area. “We have held a meeting with the Governor and Pertamina to discuss the fuel scarcity issue and the supervision of subsidised fuel distribution in South Kalimantan,” stated the South Kalimantan Regional Police Chief, Inspector General Rosyanto Yudha Hermawan, on Wednesday.

The meeting, held in Banjarbaru, addressed several primary causes of fuel scarcity. Findings suggest that there are indications of fuel hoarding by certain parties, as well as ongoing thuggery within depot environments and the fuel distribution chain. Based on the allocated fuel quota, there should not be scarcity or long queues in South Kalimantan. “In this regard, an evaluation of the supervision and distribution system for subsidised fuel is required to ensure that distribution is targeted correctly,” said the Police Chief.

Regarding control instruments, the Executive General Manager of Pertamina Balikpapan, Iswahani, stated that the distribution of subsidised fuel, particularly diesel, now utilises a QR Code mechanism as a control instrument for purchases. This system includes volume limits integrated into the QR Code, where petrol station attendants play a vital role in verifying users during transactions. However, it was acknowledged that field supervision still faces obstacles, particularly regarding the limitations of monitoring QR Code usage and user compliance.

Echoing the Governor’s concerns, Muhidin emphasised the need to strengthen the QR Code control system. This includes studying stricter mechanisms, such as integrating vehicle data via registration documents (STNK), to minimise the misuse of subsidised fuel. The meeting concluded that the current scarcity and queues must be further investigated, given that available data shows the fuel quota is sufficient for public needs. Supervision against misuse, including hoarding and thuggery, must be increased through cross-agency coordination. Furthermore, Pertamina has been requested to evaluate and refine the QR Code control system to ensure that subsidised fuel reaches the rightful recipients.

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