Volume of Subsidized Solar in 2027 Proposed as Large as 19 Million KL

JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) has proposed a subsidy solar volume in 2027 ranging from 18.80-19 million kiloliters (KL). Minister of Energy and Mineral Resources Bahlil Lahadalia said, the proposal in the 2027 RAPBN has increased compared to the subsidy solar volume set in 2026 which was set at 18.64 million KL. This figure also exceeds the provisions in 2025 which was recorded at 18.41 million KL.

"In 2026, the diesel oil is 18.64 million KL, in 2027 we allocate 18.80 million KL to 18.19 million KL," he said in a working meeting with Commission XII of the Indonesian House of Representatives, quoted Tuesday, June 16. He added, the subsidy for diesel oil is planned to be Rp. 1,000 per liter in 2027 or no change from previous years.

Not only solar, Bahlil said the government also allocated subsidies for kerosene. In the 2027 State Budget, it is proposed that the volume of kerosene ranges from 543,000-561,000 KL, an increase compared to the volume in 2026 which is as much as 530,000 KL.

With the number of solar and kerosene, the total allocation of subsidized fuel volume in 2027 will be 19.343 million-19.561 million KL.

"The volume of subsidized fuel in 2026 is around 19.17 million KL, but in 2027 we allocate it in the range of 19.34 million to 19.56 million KL," said Bahlil.

Furthermore, for the volume of subsidized LPG or 3 kilogram (kg) cylinder elpiji, it is proposed to be around 8 million metric tons in the 2027 State Budget, the same as the allocation set this year.

"The same average LPG we allocate is 8 million KL, the same as 2026," said Bahlil.