New Rules For Subsidized Fuel Distribution Still Being Discussed

JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) is still reviewing new policies related to the distribution of subsidized fuel oil (BBM) to ensure more targeted distribution.

Head of the Communications, Public Information Service, and Cooperation Bureau of the Ministry of Energy and Mineral Resources, Agus Cahyono Adi, stated that in the draft regulation, public and two-wheeled vehicles will be the priority recipients of Pertalite and Biosolar fuel subsidized.

For this reason, Agus ensured that the plan to limit subsidy recipients was still in the refinement stage. In addition, the government also plans to open a public discussion room to get input related to the regulation.

"The proposal for restrictions for public transportation and two-wheeled vehicles is being investigated. We are looking for a formulation that will not interfere with consumers, but still ensure that the subsidized fuel quota is not exceeded," Agus said as quoted on Thursday, September 19.

This proposal was originally submitted by the Chairman of Commission VII DPR Sugeng Suparwoto and the Land Transport Organization (Organda) in the same discussion. According to Sugeng, this step is important so that fuel subsidies can really be enjoyed by people in need, especially low-income groups.

"It's time for us to consider limiting the use of subsidized fuel. I propose that only public transportation and two wheels are allowed to access subsidized Pertalite and Biosolar," said Sugeng.

These restrictions are considered as a strategic step in improving the governance of energy subsidies in the country. To ensure that the policy is effective and fair, an in-depth study and the involvement of various related parties is needed.

In line with Sugeng, Deputy for Infrastructure and Transportation Coordination of the Coordinating Ministry for Maritime Affairs and Investment, Rachmat Kaimuddin, said that the government was still conducting an in-depth study of the proposal.

"We agree that two-wheeled vehicles and public transportation are still allowed to use Pertalite. However, the criteria for other users are still under further discussion," said Rachmat.