The Special Staff Of The Minister Of SOEs Regarding Subsidized Fuel Restrictions: No Directions Yet

Special Staff (Staffsus) of the Minister of SOEs Arya Sinulingga. (Photo: Mery Handayani/VOI)

JAKARTA - Special Staff (Stafsus) of the Minister of SOEs Arya Sinulingga admitted that his party had not received any directions regarding restrictions on the distribution of subsidized fuel oil (BBM).

Arya explained, in the plan to limit subsidized fuel, Pertamina only acts as the executor.

Meanwhile, technical regulations related to the distribution of subsidized fuel are at the Ministry of Energy and Mineral Resources.

"Not yet. I don't know, not us, we are only carrying out what the regulator asked for, in this case the Ministry of Energy and Mineral Resources. So, Pertamina does not determine whether there is a subsidy that is right on target," he said when met at the Perum Perhutani building, South Jakarta, Monday, July 15.

Arya also admitted that he was not aware of the technical revision of Presidential Regulation (Perpres) Number 191 of 2014 concerning the Provision, Distribution and Retail Selling Price of fuel.

"We don't understand that it's a matter for friends at ESDM, we just run it. We don't understand how the Perpres is, after the ESDM is done, we have just done it. Everything is by order from them," he said.

Previously, it was reported that the Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan revealed that the government plans to tighten the use of subsidized fuel on August 17, 2024.

Luhut said that this step could reduce the number of subsidy distributions to be more targeted.

Giving inappropriate subsidies (targets). That's now Pertamina has prepared. We hope that on August 17, we can start, where people who are not entitled to subsidies will be able to reduce them. We will count there," said Luhut through his official Instagram @luhut.panjaitan, quoted Wednesday, July 10.

In addition to tightening subsidy recipients, Luhut also said that the government plans to encourage alternative replacements for gasoline through bioethenol.

He considered that this step could reduce fuel imports and reduce air pollution levels.

Moreover, Luhut continued, the sulfur level owned by this alternative fuel is also relatively low.

By reducing sulfur levels, he said, the number of ISPA sufferers could be suppressed and BPJS payments for the disease could save the state budget.

"We are now planning to encourage bioethenol to enter to replace gasoline so that this air pollution can also be reduced quickly because sulfur is almost 500 ppm, right," he said.

Meanwhile, Luhut continued, this plan is being worked on together with PT Pertamina (Persero).

"Now this is being worked on by Pertamina. Now, if everything goes well from there, I think we can save more," concluded Luhut.