Thursday, February 6, 2025

Government takes swift measures against “shortage of subsidized gas canisters”

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Gusty da Costa

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The government has taken swift measures to tackle the scarcity of subsidized 3-kilogram cooking gas canister, allowing retailers to be back in its sales and distribution chain.

President Prabowo Subianto has instructed Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia to reactivate retailers selling the 3-kg liquified petroleum gas (LPG) canisters, while increasing the status of retailers into sub-agents so as to accelereate the distribution of the canisters and regulate on its sales price.

“All administrative processes will be regulated in order to ensure that the retailers as sub-agents will not sell the gas canisters in high price,” Deputy Chairman of Prabowo’s Gerindra Party and Deputy Speaker of the House of Representatives (DPR), Sufmi Dasco Ahmad, said in his X account on Tuesday, February 4, 2025.

Residents across the archipelago recently faced a shortage of subsidized 3-kilogram cooking gas canisters, leading to frustration as these canisters became unavailable over the weekend. The shortage appears to be impacting low-income families who rely on this subsidized gas for cooking.

As previously reported, the government issued a regulation that allows end users to only buy 3-kilogram LPG canisters at official agents and not at retailers. ESDM Minister Bahlil Lahadalia has defended that the regulation was made to prevent the retailers from pricing up the gas canisters.

“I have received reports of retailers who price up the 3-kg gas canisters. Actually, the gas canister should not be more than Rp 5,000-Rp 6,000 per kilogram or Rp 15,000 (about 90 US cents) per canister as the government provides subsidy of Rp 12,000 per kg or Rp 36,000 per canister,” Bahlil told a press conference on Monday, February 3, 2025.

He said further that besides the marked-up sales price, the subsidy that was allocated by the government has missed the target because there were a group of people who purchased the canisters in unreasonable amounts for personal interests.

“By requiring the end users or consumers to buy the canisters at authorized agents, the government can control the price. If the prices at official agents increase, the government can revoke their permit. A fine can be imposed and we will know who the players are,” he added.

Bahlil guaranteed that there is no scarcity in the 3-kg LPG canisters as the government does not limit the quota of subsidized 3-kilogram LPG canisters.

“We do not cut the subsidy, it is the same,” he said.

Safe stock

State energy company PT Pertamina ensures that the stock of 3-kg LPG canisters is enough for the Indonesian people.

Corporate Secretary of PT Pertamina Patra Niaga, a Subholding Commercial & Trading of Pertamina, Heppy Wulansari, emphasized that the regulation on the distribution of 3-kg LPG canisters at official depots is to ensure that subsidies are evenly distributed at uniform prices.

“This distribution arrangement only aims to ensure that subsidies are right on target, and not to reduce supply for the rightful persons,” Heppy said on Tuesday, February 4, 2025.

PT Pertamina Patra Niaga ensures that retailers with sub-depot status can still purchase 3 kg LPG at depots. This policy is implemented to maintain the availability of subsidized gas for entitled people and to improve distribution control.

“Systematically, retailers have been registered in the Pertamina Merchant Applications (MAP),” Heppy said, while citing that there are nearly 63 million Population Identification Number (NIK) holders registered in the MAP system.

According to Heppy, this policy not only maintains smooth distribution but also strengthens government supervision through Pertamina towards 3-kg LPG consumers.

“With this scheme, it is hoped that services to the community will be maintained, while increasing distribution supervision so that it is more targeted,” she said.

Meanwhile, Pertamina also provides an option to purchase LPG online through the MyPertamina application. However, this service only applies to non-subsidized LPG gas, namely 5.5 kg and 12 kg sizes.

People who want to buy LPG online must first create an account on the MyPertamina application by entering personal data, such as email address, mobile phone number, and full name. After successful registration, LPG orders can be made directly from home without having to come to the depot or agent.

Gusty da Costa

Journalist

 

Editor

 

Interview

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