Pertamina Claims the Upper Class Still Consume Subsidized Fuel

TEMPO.CO, Jakarta - Pertamina Patra Niaga corporate secretary, Irto Ginting, on Thursday said that government-subsidized fuels such as Pertalite and Solar (diesel fuel) sold across the company’s gas stations are still purchased by the middle-to-upper class consumers. 

“Nearly 60 percent of the wealthiest are consuming nearly 80 percent of the total consumption of subsidized fuel,” said Irto in a press conference on June 30. 

Moreover, he said that the actual demographic that needs subsidized fuel which constitutes 40 percent of the lowest economy group is only consuming 20 percent of the total fuel consumption. Pertamina claimed that it is attempting to organize a proper distribution system. 

Irto revealed that the government annually spends up to Rp520 trillion to subsidize the energy sector, and most of it ends up subsidizing the two aforementioned types of fuel. “We can imagine what we can do with that amount of money." 

He emphasized that Pertamina is tasked with distributing subsidized fuel appropriately and under the right quota in accordance with the amount the government has set. Therefore, according to Irto, Pertamina needs to register people who buy subsidized fuel so that the distribution does not leak.

The data collection is carried out through the fuel consumer registration system on the MyPertamina website or mobile app. Pertamina Patra Niaga opens registration of vehicles and their identities as of July 1, 2022.

MUHAMMAD HENDARTYO

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