Unpad Expert Says Increase in Pertamax Prices Minimizes Social Unrest Risks

Illustration. Residents prepare to fill up on fuel at the COCO gas station on Jalan Ahmad Yani, Semarang, Central Java. (ANTARA FOTO-Aprillio Ak)

JAKARTA - The government's decision to raise the price of Pertamax to Rp. 16,250 per liter is considered an inevitable step amid pressure on world oil prices and the weakening of the rupiah exchange rate. Bonti Wiradinata, a public policy observer at Padjadjaran University (Unpad), even assessed that the price adjustment was actually too late because the global energy turmoil had been going on since February 2026.

According to Bonti, the government has chosen to hold off on raising the price of non-subsidized fuel to maintain people's purchasing power and national economic stability. This policy, he said, gives room for people and businesses to adjust their financial conditions before facing energy price increases.

"Indonesia tends to have a less frequent and gradual frequency of adjustments. However, this is a deliberate policy choice to maintain social cushions, not just an unpreparedness in managing prices," said Bonti.

He explained that the price of Pertamax as a non-subsidized fuel basically follows the development of world oil prices and the rupiah exchange rate. When these two factors are under pressure for a long time, the government must eventually make adjustments so as not to create a greater fiscal burden.

Bonti assessed that the government's move to hold prices for the past few months was commendable because it had provided economic and psychological support to the community. However, according to him, the longer the price adjustment is delayed, the greater the pressure that the state and energy business entities must bear.

"The urgency of raising the price of fuel is related to the government's strategy in maintaining the rupiah exchange rate against the US dollar and overcoming the pressure on the state budget that occurs as a result of the weakening of the rupiah," he said.

According to him, maintaining the price of non-subsidized fuel below the economic price in the long term has the potential to burden cash flow and increase energy compensation needs. Therefore, price adjustments are considered a realistic step to maintain the country's fiscal health.

"By adjusting the price, the government minimizes the potential for inflation in energy compensation costs. This is an effort to ensure that the state budget remains focused on financing other priorities," said Bonti.

He added, the risk of social unrest due to the increase in Pertamax is relatively more controlled compared to when the government raises the price of subsidized fuel. This is because Pertamax users generally come from a group of people who have more options in regulating their energy consumption patterns.

The same was conveyed by YLKI Executive Secretary Rio Priambodo. He said his party understood that the price of non-subsidized fuel was influenced by the dynamics of world oil prices and the exchange rate of the rupiah against the US dollar.

Rio also asked for an increase in the price of Pertamax, followed by an increase in the quality of service that consumers feel directly. According to him, the public has the right to obtain product and service quality that is commensurate with the price paid.

Rio emphasized that consumers have the right to guarantee the quality of fuel, ease of access, distribution reliability, metering accuracy, and better service at all gas stations. "Consumers should not be asked to accept price increases without obtaining commensurate benefits and service quality improvements," said Rio.

In addition, Rio also encouraged Pertamina and the government to increase transparency in the delivery of information related to changes in fuel prices. According to him, better public communication will help the public understand the reasons behind the government's adjustment policy.