BPH Migas Collaborates With KAI To Launch Goods Distribution By Train

The collaboration of the Downstream Oil and Gas Regulatory Agency (BPH Migas) and KAI to increase the use of distribution by train. (photo: special)

JAKARTA - To increase the collaboration of the Downstream Oil and Gas Regulatory Agency (BPH Migas) as the regulator in charge of setting the subsidized fuel quota and PT Kereta Api Indonesia (Persero) as the operator of subsidized and non-subsidized fuel users.

The collaboration was carried out through a Focus Group Discussion with the theme "Technical Study of Optimizing Fuel Consumption of Oil and Lubricants at KAI Facilities" which was held in Bandung, Thursday, June 16.

"The transportation sector is one of the strategic sectors. Subsidized fuel is a stimulus for development and economic prosperity for all Indonesian people. The provision of a quota for subsidized fuel in the railway sector to enjoy subsidized fuel is certainly expected to be managed intelligently and wisely, in the sense that the use of subsidized fuel is right on target and according to the volume of need," said Head of BPH Migas, Erika Retnowati in a statement received by VOI, Saturday, June 18.

On that occasion, the President Director of KAI Didiek Hartantyo explained, this FGD is important in order to share knowledge so that KAI can be more optimal in managing fuel and lubricants in facilities, especially locomotives.

"In 2022, KAI gets a quota of subsidized fuel of 174.6 million liters. Until the beginning of June 2022, 54 percent of the quota has been used. The subsidized fuel quota is very crucial for KAI to be able to continue to serve various public interests using trains," said Didiek .

In terms of freight transportation, he continued, the biggest commodity that KAI serves is coal transportation in the Southern Sumatra region. The role of providing subsidized fuel to KAI will further support efficiency and regional development, especially in Southern Sumatra.

"With the availability of sufficient subsidized fuel for all freight trains, KAI can support competitive logistics costs and reduce the impact of externalities such as congestion, pollution, damaged roads, and increase global competitiveness," said Didiek.

Through this FGD, he said, it is hoped that a synergistic relationship will be realized between BPH Migas and KAI in meeting the need for subsidized fuel as a support for KAI's business processes to reduce costs and maintain KAI's sustainability in carrying out government assignments which are national strategic projects.

In the series of FGDs, a field visit was also made to the Bandung Locomotive Depot located in the Bandung Station area. Didiek showed directly to the ranks of BPH Migas the locomotive maintenance process that KAI routinely does in order to provide optimal service to customers.