KPPU Calls Private Gas Station Fuel Import Restrictions Give Negative Climate Signal For Downstream Oil And Gas Sector Investment Sector
The Business Competition Supervision Commission (KPPU) assesses that the government's policy to limit non-subsidized imports of fuel oil (BBM) affects the sustainability of private business entities.
The KPPU has conducted an analysis of the Ministry of Energy and Mineral Resources (ESDM) policy which limits the increase in imports of NIN subsidies to a maximum of 10 percent of the 2024 sales volume.
"The main result of the KPPU analysis is that this policy affects the operations of private business entities that depend on imports," wrote KPPU quoted on Thursday, September 18.
KPPU said this policy caused the loss of consumer choice over non-subsidized fuel products and strengthened the dominance of Pertamina's market.
The constraints on the supply of non-subsidized fuel have had an impact on reducing consumer choices in the market and affecting the smooth economic activity of the community and business actors.
Even though the trend of increasing non-subsidized fuel consumption shows positive developments that should be maintained.
The KPPU stated that the impact of the impact on the additional import volume of private business entities in the range of 7000 to 44,000 kiloliters (KL), while Pertamina Patra Niaga received an additional volume of around 613,000 KL.
"In the non-subsidized fuel segment, Pertamina's market share currently reaches 92.5 percent while private BU is in the range of 1-3 percent. This condition illustrates the market structure that is still concentrated so that efforts to maintain a balance of business competition are important so that consumers continue to benefit from the existence of various business actors," wrote KPPU.
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KPPU menilai kebijakan ini bersinggungan dengan indikator dalam Daftar Periksa Kebijakan Persaingan Usaha (DPKPU), antara lain terkait pembatasan pasokan barang serta penunjukan pemasok tertentu.
Hal ini dikhawatirkan menimbulkan risiko pembatasan pasar, diskriminasi harga dan pasokan, hingga inefisiensi akibat terbatasnya pemanfaatan infrastruktur swasta.
“Kebijakan satu pintu impor melalui Pertamina bisa memberi sinyal negatif bagi iklim investasi di sektor hilir migas,” tulis KPPU.
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The KPPU assesses that this policy intersects with indicators in the Business Competition Policy Check List (DPKPU), including related to restrictions on the supply of goods and the appointment of certain suppliers.
It is feared that this will pose risks of market restrictions, price and supply discrimination, and inefficiency due to limited use of private infrastructure.
"The one-door import policy through Pertamina can provide a negative signal for the investment climate in the downstream oil and gas sector," wrote KPPU.