Don't Fill Your Car With Subsidized Fuel Just For Saving Reasons

Illustration of a public fuel pump station (SPBU) that provides subsidized fuel or not. (Between)

JAKARTA - The issue of subsidized fuel resurfaced after a statement from the Secretary General of the National Energy Council (DEN), Djoko Siswanto on May 30, 2022, regarding the government's new regulation on low-priced fuel. The new government regulation in the form of a Presidential Regulation (Perpres) will later regulate the increase in world oil prices and the shift of consumers from non-subsidized to subsidized fuel due to price disparities.

Currently, there are two types of fuel circulating in the community with subsidies from the Government of Indonesia, namely Pertalite and Bio-diesel. Pertalite is currently selling for Rp. 7650/liter, while Bio Solar is Rp. 5150/liter.

"In the Presidential Regulation, it is not only Pertalite fuel that will be refined, one more crucial thing is diesel fuel because diesel is still subsidized even though it is subsidized per liter, but the price is still very cheap when compared to non-subsidized diesel," said Djoko, quoted by Antara, Monday 30 May.

The skyrocketing increase in non-subsidized fuel prices has indeed triggered consumer migration. Pertamax users, for example, who were originally in the range of Rp. 9700, suddenly jumped to Rp. 12500. Pertamax users are automatically moving to Pertalite, even though the last name is of lower quality.

Illustration of a BMW luxury sedan filled with Pertalite subsidized fuel. (rockomotif.com)

Or users of modern diesel-powered cars who are required to fill up with fuel of at least the quality of Dexlite, which was originally priced at Pertamax, but increased to Rp. 13,000. They are also flocking to move to Bio Solar, which is much cheaper.

The condition of the migration of Pertamax users to Pertalite or Dexlite to Bio Solar has made Pertamina's financial burden even heavier. The company was forced to increase imports of gasoline at high prices by up to 50 percent, while the selling price of the product did not match the economic price.

Djoko said that Bio Solar is a top priority that will be regulated by the government through a new Presidential Decree. The reason is because this type of fuel is not only used by motor vehicles but also in the manufacturing, mining, plantation and shipping industries.

It's Not Easy To Change Mentally

Massive migration from Pertamax to Pertalite or Dexlite to Bio Solar was predicted before the government announced the increase in non-subsidized fuel prices last April. The quota for subsidized fuel will increase, causing the burden on the state budget to swell.

Former Minister of Finance, Chatib Basri suggested in March that the government should provide subsidies that are right on target, namely the poor. Giving subsidies to goods for Chatib is not the right choice.

New rules may be issued, but forcing people to comply is not as easy as turning the palm of the hand. Prohibiting luxury car owners from filling their vehicles with subsidized fuel is not an easy matter.

It is common to see at gas stations the latest cars with cylinder capacities above 2000 cc, joining the line for Pertalite or Bio Solar with public transport vehicles. In fact, the appeal so that people from the affluent groups do not join in the queue for subsidized fuel have been repeatedly called out. After all, there is no significant change in the behavior of BBM consumers in Indonesia. Whatever the risk, the important thing is cheap.

Not the Right Choice to Save

On the latest cars, the recommended octane level is always written in the fuel. Generally the recommended octane rating is 92, which refers to Pertamax. However, people are still desperate to fill the tank with 90 octane gasoline or Pertalite, some even with 89 octane or Premium class.

If consumers choose to lower the quality of the fuel that is filled into their car tanks for reasons of saving money, the opposite will happen.

Maybe 90 percent of cars in Indonesia can run on 90 octane gasoline or less. But filling the gas tanks of the latest technology cars with Pertalite class gasoline is a mistake.

“The manufacturer has actually recommended a minimum octane fuel that can be used. For example, if the recommended octane is 92 but instead is filled with 90, it will have an effect on the engine. The common effect is, of course, the so-called tickling engine," said Dicky Setiawan, a former national motorcycle racer to VOI, Monday, May 30.

Government official cars will be prohibited from being filled with subsidized fuel. (Between)

Modern car engines are equipped with ticking sensors. When the car is filled with gasoline with a lower octane than the manufacturer's recommendation, the sensor will delay the ignition timing. When the sensor reverses the ignition, the combustion in the engine becomes incomplete.

Incomplete ignition will result in the buildup of carbon scale. If the longer the tickling symptom is left, it will accelerate the wear of the car engine. Migration from Pertamax to Pertalite also results in more wasteful use of fuel, because the driver will tend to press the gas more often and deeply in order to get the expected power.

Overall, the migration to subsidized fuel by the economically well-off people is detrimental. In addition to harming yourself with a car that breaks down more quickly, it also causes the state to lose money due to the swelling of the state budget for subsidies that are not well targeted.