President Director and Country Chair of Shell Indonesia, Ingrid Siburian, has testified that adding additives into fuel products will not increase their octane level, but only improve them.

She cited an example on the mixture of additives in Shell Super fuel oil products, which have a Research Octane Number (RON) of 92, the same level as State energy company Pertamina’s Pertamax fuel products.

She emphasized that the additives used in Shell Super does not function to increase its octane level, but rather to improve the fuel’s quality.

“The product sold is indeed base fuel. So for example, if we say RON 92, that is indeed RON 92 base fuel. Well, then we add the additives at our terminal," Ingrid told a hearing with Energy, Mineral Resources, and Investment Commission XII of the House of Representatives (DPR) on Wednesday, February 26, 2025.

“So, The additive is to add value, not to change (octane levels),” she cited.

Scientifically, fuel blending is indeed the process of mixing certain substances into crude oil to achieve a certain RON, for example 90 or 92.

It is contrary to the statement by the Attorney General’s Office (AGO) in regards with the recent findings on mismanagement of crude oil and refinery products at the State energy company Pertamina, its subholdings and contractors that the RON 90 fuel was purchased at the price of RON 92.

Misinterpretation

M. Kholid Syeirazi, Doctor of Administrative Science at the University of Indonesia, said that the real problem in this mega corruption case is not the blending issue, but an allegation that Pertamina’s commercial and trading subholding PT Pertamina Patra Niaga imported RON 90 fuel, but at the price of RON 92 fuel.

Officials of Pertamina Patra Niaga and Pertamina’s petrochemical and oil refinery arm PT Kilang Pertamina Internasional are suspected of conspiring to smooth the way for certain oil import volumes by refusing to absorb domestic oil production.

"I have always wondered that we have become a net oil importer, but why is domestic oil production still exported? The answer is, some of the oil does not match the specifications of domestic refineries. I naively accepted that answer. A refinery with high complexity, such as Balongan, can process all types of oil, by changing several components. This means that the reason (to import RON 90 fuel) is invalid,” Kholid said in his statement, on Thursday, February 27, 2025.

However, upon calculation, the Attorney General's Office might find that the import is more expensive. This is because there is a burden of other cost components, namely transportation costs, insurance, import duties, and exchange rate differences. This argument, according to Kholid, is also invalid.

He was of the opinion that the real source of the problem is the grip of the fuel oil mafia, which has so far controlled the procurement of oil and fuel imports.

“As we still have to import, whoever the Pertamina official is, he has to deal with them [fuel oil mafia]. It could be that, initially, they [officials] had no evil intentions. However, since they were afraid to fight the mafia, they fell into a vicious circle of the game. The so-called state loss of Rp193.7 trillion (US$12.5 billion) just in one year is huge indeed,” Kholid cited.

He said that he was not sure whether the Pertamina officials reaped that much profit from the scandal, but crumbs at the most.

“The ones who enjoy it are still the fuel oil mafia. You know one of the suspects, MKAR, is the son of a famous figure in this business, Riza Chalid,” Kholid cited.

For decades, Riza Chalid was almost untouchable. Now, his name is starting to be dragged, even through his son. “It could be that the person concerned [Riza Chalid] is still safe. The public is waiting for the next chapter," Kholid concluded.