Solar Subsidy In The 2025 RAPBN Proposed Up To IDR 3,000 Per Liter

Minister of Energy and Mineral Resources Arifin Tasrif. (Photo: Doc. ANTARA)

JAKARTA - Minister of Energy and Mineral Resources Arifin Tasrif proposed diesel subsidies in the 2025 RAPBN to range from Rp1,000 Rp. 3,000 per liter.

"In the 2025 RAPBN, the fixed subsidy of diesel oil is proposed to range from Rp1,000 to Rp. 3,000 per liter," said Arifin as quoted by ANTARA, Wednesday, June 5.

Arifin explained, the subsidy remains diesel oil, until May 2024, amounting to Rp1,000 per liter.

The amount of compensation allocated until May 2024 is IDR 4,496 per liter.

Arifin said that the proposal for a fixed subsidy of diesel oil was carried out considering that the economy or economic value of diesel oil reached Rp. 12,100 per liter.

Solar oil, he continued, is still widely used, including land, sea transportation, fisheries, agriculture, micro-enterprises, and public services.

"So efforts are needed to maintain the retail selling price of diesel oil," said Arifin.

In order to be efficient and so that the diesel oil subsidy is right on target, Arifin said the role of BPH Migas and PT Pertamina is needed, as well as local governments in controlling and supervising subsidized fuel through digitalization or supervision in the field.

Previously, the Downstream Oil and Gas Regulatory Agency (BPH Migas) submitted a quota for the distribution of certain types of fuel (JBT) in the form of diesel amounting to 18.33'19.44 million KL and kerosene 0.154'0.546 million KL.

On this occasion, BPH Migas also explained that the realization of the distribution of certain types of fuel (JBT), which includes diesel and kerosene, reached 30.12 percent for the January period April 2024.

As for the details of the realization, namely diesel oil as much as 5.40 million kiloliters (KL) from the allocated quota of 17.969 million KL, and kerosene of 0.17 million KL from the allocated quota of 0.523 million KL.

On the basis of the realization of diesel and kerosene distribution until April 2024, BPH Migas estimates that diesel realization in December 2024 will reach 17.88 million KL or 99.50 percent of the allocated quota.