Indonesian Political, Business & Finance News

To Survive the Threat of a World War, Prabowo Asks This of Bahlil

| Source: CNBC Translated from Indonesian | Energy
To Survive the Threat of a World War, Prabowo Asks This of Bahlil
Image: CNBC

Jakarta, CNBC Indonesia - The government plans to build oil storage tanks, or storage facilities, to increase domestic energy reserve capacity. This is aimed at strengthening national energy resilience amid global geopolitical dynamics, including the conflict in the Middle East.

Energy Minister (ESDM) Bahlil Lahadalia said President Prabowo Subianto has given direct instructions to expedite the construction of these oil storage facilities.

‘I have reported to the President and the President has directed that we build it immediately. Why? Because we need survival. If we talk about survival, we must really be able to see the core issue and resolve it quickly. If not, we will remain dependent,’ Bahlil said when met at the Ministry of Energy and Mineral Resources, quoted Thursday (5 March 2026).

According to him, accelerating the construction of the oil storage tanks is a key strategy to strengthen domestic energy reserves. He also assured that the investment for building these facilities is already available and investors are ready to back the project.

According to Bahlil, the tanks to be built will be focused on storing crude oil. If crude reserves are available, the processing into BBM (fuel) can be carried out at existing refineries.

‘If indeed that is needed for us to build for BBM, then it would be at the refineries. We simply need to ask Pertamina’s refineries to add their tanks,’ said Bahlil.

As is known, previously the Prabowo Subianto administration planned to build refineries and oil storage tanks in various regions, from Lhokseumawe in Aceh to Fakfak in West Papua.

This followed the submission of 18 pre-feasibility study documents related to the downstream project from the Downstream Task Force led by ESDM Minister Bahlil Lahadalia to the CEO of the Investment Management Agency (BPI) Danantara Rosan Roeslani.

Based on the ESDM Ministry’s briefing materials, the project is on the list of priority downstream and national energy resilience with investments totalling Rp 232 trillion. It comprises a refinery project worth Rp 160 trillion with an employment of 44,000; and an oil storage project worth Rp 72 trillion with an estimated 6,960 jobs.

The refinery and oil storage projects will be spread across 18 regions, including Lhokseumawe, Sibolga, Natuna, Cilegon, Sukabumi, Semarang, Surabaya, Sampang, Pontianak, Badung (Bali), Bima, Ende, Makassar, Dongala, Bitung, Ambon, North Halmahera, Fakfak.

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