The Ministry Of Energy And Mineral Resources Will Hold A Selection For The Assignment Of 3 Kg Elpiji Provision And Distribution Next Year

Illustration (Photo: Doc. ANTARA)

JAKARTA - The Directorate General of Oil and Gas at the Ministry of Energy and Mineral Resources (ESDM) will again carry out the selection of assignments for the provision and redistribution of three kilograms of LPG (kg).

The selection itself will be held in the second half of 2024.

"For the assignment of the provision and distribution of 3 kg LPG in 2025, the Directorate General of Oil and Gas will again carry out the selection. This selection will be held in the second half of this year," said Director of Downstream Oil and Gas Business Development Mustika Pertiwi, Wednesday, June 19.

In the selection process, the Directorate General of Oil and Gas of Earth will invite oil and gas trading business license holders with LPG commercial business activities.

Business entities interested in participating in the selection can start preparing the required requirements.

Mustika also said that since the issuance of Presidential Regulation Number 70 of 2021 concerning Amendments to Presidential Regulation Number 104 of 2007 concerning Provision, Distribution, and Determination of 3 kg LPG, the Ministry of Energy and Mineral Resources through the Directorate General of Oil and Gas always carries out the selection of assignments for the provision and redistribution of 3 Kg LPG refills every year.

"However, the selection process always fails because all business entities that we invite in the selection do not submit selection documents," said Mustika.

Meanwhile, referring to Article 8 of the same regulation, the provision and distribution of the volume of the 3 Kg LPG annual needs is carried out by the Business Entity through an assignment by the Minister.

"Then, based on Article 9 of the Presidential Regulation, it has been stipulated that the assignment of the provision and distribution of 3 Kg LPG can be carried out through direct appointment and/or through selection," added Mustika.

Direct appointments, explained Mustika, were carried out to protect domestic refineries, including their long-term development, to ensure the availability of domestic 3 kg LPG including for remote areas, or if there is only one Business Entity that holds Oil and Gas Commercial Business Permits to carry out the provision and distribution of 3 Kg LPG LPG.