Indonesian Political, Business & Finance News

Suspicions of Price Manipulation as Shortages Drive Up Prices of Subsidised 3kg LPG Gas

| | Source: MEDIA_INDONESIA Translated from Indonesian | Economy
Suspicions of Price Manipulation as Shortages Drive Up Prices of Subsidised 3kg LPG Gas
Image: MEDIA_INDONESIA

The scarcity and price surge of Liquefied Petroleum Gas (LPG) in 3-kilogram subsidised canisters are now causing concern among residents in Pati Regency, Central Java. After previously occurring in Jepara, the price of LPG in several areas of Pati has reportedly soared to Rp30,000 per canister, far above the Highest Retail Price (HET).

As Ramadan 2026 approaches, residents in Gunungwungkal District and Gembong District, Pati Regency, have complained about the difficulty of obtaining LPG. This scarcity forces residents to search in neighbouring villages to meet their cooking needs.

Astuti, a resident of Gunungwungkal District, said she had to travel a long distance to get one canister of gas. “I had to search for 3kg LPG around the village. If I could find it, the price had increased to Rp30,000, from the usual Rp22,000 to Rp23,000 per canister,” she said on Wednesday (February 25).

Mawardi, a resident of Gembong, expressed a similar sentiment. He was forced to spend more money because the stock at retailers near his home was empty. “I had to go around a lot before I could find it at a considerable distance and at a high price,” he complained.

In response to this situation, PT Pertamina Patra Niaga, through Area Manager Communication, Relations, and CSR for Central Java, Taufiq Kurniawan, stated that his company had anticipated the surge in demand during Ramadan by increasing supply in the Pati Raya area.

“Actually, the problem of 3kg LPG has been addressed by increasing the supply on February 17 and then again on February 25,” said Taufiq.

According to him, with the addition of this stock, there should not be a shortage. Moreover, the price at official distribution points remains stable according to the HET, which is Rp18,000 per canister. Taufiq suspects that there are irresponsible parties who are deliberately taking advantage of the situation for personal gain.

Based on Pertamina’s monitoring, the indication of scarcity and price manipulation is concentrated in certain areas in Pati Raya, such as Blora, Grobogan, and several areas in eastern Pati.

“This indicates that in addition to the increase in demand in these areas, there is also an indication of manipulation by parties who are deliberately manipulating prices,” Taufiq emphasised. Pertamina is committed to continuing to monitor distribution so that prices return to normal and supply is absorbed properly by the community who need it. (AS/E-4)

PT Pertamina’s firm action in combating the practice of mixing 3-kilogram LPG gas canisters and distributing fuel that does not comply with the intended use has been praised.

PERTAMINA Patra Niaga, together with Bank Indonesia, is collaborating to implement a digital QRIS payment system at 3kg LPG gas distribution points.

The Head of the Macroeconomic and Financial Centre at Indef, M Rizal Taufikurahman, said that the difference in data between the Ministry of Finance and the Ministry of ESDM is a sign of a crisis in coordination.

“We have prepared a total of 1,120 3kg LPG gas canisters, with prices in accordance with the HET of Rp18,000 per canister.”

The Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, announced a new regulation regarding the purchase of 3-kilogram LPG gas canisters.

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