JAKARTA: The government is reviewing a plan to bar sales of Pertalite petrol to higher-income households as it seeks to ensure that energy subsidies actually reach targeted recipients.
Energy and Mineral Resources Minister Bahlil Lahadalia said on Monday that the policy was under active review, with the main challenge being the accuracy of beneficiary data.
The measure is intended to limit the sale of Pertalite, which is classified as a special assignment fuel type, to consumers in socioeconomic deciles 9 and 10.
“It is still being assessed. We want the subsidy to reach the intended recipients. One way to ensure that it is well-targeted is by having valid data,” Bahlil said in Jakarta after a meeting with House of Representatives Commission XII overseeing energy and natural resources.
Bahlil said the verification process for the decile-based criteria was ongoing, noting that the government was exercising caution to prevent technical errors that could undermine the policy’s objectives.
“We are continuously checking these deciles. We don’t want a situation where our intentions are good, but the implementation falls short of our expectations because of invalid data,” he said.
The potential policy shift comes amid a significant allocation of state funds for energy subsidies.
The 2026 state budget has set an energy subsidy ceiling of 210.06 trillion rupiah that covers specific fuel types, 3 kg cylinders of liquefied petroleum gas and electricity.
Combined with compensation budgets, the fiscal energy assistance totals 381.3 trillion rupiah.
The policy review comes after observable changes in national fuel consumption patterns, with Pertamina reporting a notable migration of consumers from nonsubsidised to subsidised fuel.
The state-owned energy holding company projected that total distribution of subsidised fuel brands Pertalite peptrol and Solar diesel will surpass the quotas in the 2026 state budget, citing robust economic activity and rising consumption across multiple sectors. The Jakarta Post/ANN
