Indonesia’s Fuel Shell Game: When Subsidies Play Hard to Get
Published · By Satya Pramesi
On September 18, 2025, we noted consumers struggling to access fuel after the government’s 2024 subsidized fuel restrictions—now requiring QR codes, registration, or other bureaucratic hurdles. The policy was designed to direct subsidies away from luxury car owners. As a result, drivers turned to private stations like Shell or BP, which import fuel via Pertamina. In response, the government permitted private importers a 10% increase in fuel imports over last year and urged competitors to buy directly from Pertamina. Additionally, it vowed to boost imports from the United States to ease shortages.
What Actually Happened
| # | Claim | Date | Entities | Source |
|---|---|---|---|---|
| 1 | The Indonesian government restricted access to subsidized fuel, requiring QR codes, registration, or other bureaucratic steps to obtain it. | Indonesian government, subsidized fuel | Kompas.com (Otomotif) (archived) | |
| 2 | The policy aimed to ensure subsidized fuel reaches intended beneficiaries, not luxury vehicle owners like Toyota Alphard or Fortuner owners. | subsidized fuel, Toyota Alphard, Fortuner | Liputan6.com (archived) | |
| 3 | The cost of subsidizing fuel amounts to a significant financial burden for the government. | Indonesian government, subsidized fuel | ANTARA News (archived) | |
| 4 | Consumers shifted to private fuel stations like Shell or BP after the subsidized fuel restrictions were implemented. | consumers, Shell, BP, private fuel stations | Bisnis.com (archived) | |
| 5 | Private fuel stations like Shell or BP import their fuel through Pertamina. | Shell, BP, Pertamina | Bisnis.com (archived) | |
| 6 | The government allowed private companies to import 10% more fuel than they did the previous year to address increased demand. | Indonesian government, private companies, fuel imports | Bisnis.com (archived) | |
| 7 | The 10% import increase was insufficient to meet consumer demand for fuel. | fuel imports, consumer demand | Bisnis.com (archived) | |
| 8 | The government suggested that private companies buy fuel directly from Pertamina to sell at their own stations. | Indonesian government, private companies, Pertamina | Bisnis.com (archived) | |
| 9 | The government pledged to import additional fuel from the United States to address fuel shortages. | Indonesian government, United States, fuel imports | OilPrice.com (archived) | |
| 10 | The commentary highlighting these issues was published by Indonesia Last Week on September 18, 2025. | Indonesia Last Week, September 18, 2025 | Indonesia Last Week (TikTok, primary source video) (archived) |
Indonesia’s fuel policy has become a masterpiece of administrative theater. Last year, the government decided that buying gasoline should feel like applying for a visa: QR codes, registrations, and enough paperwork to make a bureaucrat weep. The goal, apparently, was to stop subsidized fuel from ending up in the tanks of people who drive cars that cost more than most houses. A noble cause. The subsidies, of course, are not cheap.[1][2][3][4][5]
Consumers, being rational creatures, did the only logical thing: they abandoned the subsidized pumps and swarmed private stations like Shell or BP. These stations, in fairness, are allowed to operate—so long as they import their fuel through Pertamina. One company. One gatekeeper. One very large thumb on the scale.[6][7]
To ease the chaos, the government graciously allowed private importers to bring in 10% more fuel than last year. Ten percent. A bold number. It was, predictably, not enough. Then came the next bright idea: competitors should just buy fuel directly from Pertamina to sell at their own stations. Competition, but make it a monopoly.[8][9] And then, because why not, the promise of American imports arrived. A pragmatic solution, if by pragmatic you mean “desperate.”[10]
The policy was meant to fix a leak. Instead, it flooded the room. Private stations, suddenly the most popular kids in town, couldn’t keep up. Consumers now get to enjoy a new national pastime: decoding fuel distribution rules while watching pumps run dry. The government’s fixes? A 10% import bump—because nothing says “systemic overhaul” like a single-digit percentage. Then there’s the suggestion that competitors buy from Pertamina, which is less a market solution and more a hostage negotiation. And now, American fuel is on the way. Because in the global energy game, Indonesia is both a player and, apparently, a very eager customer.[8][9][10]
All of this, remember, is for fairness. Subsidized fuel was being misused, so the answer was to make it harder to get. The result? A system where private stations have empty tanks, the government offers solutions that sound like corporate trust falls, and Pertamina remains the only constant in a sea of variables. The question isn’t really about oil. It’s about who holds the nozzle. And who gets to decide when it runs dry.
Make of that what you will.
Sources
- Kompas.com (Otomotif) (archived)
- Liputan6.com (archived)
- ANTARA News (archived)
- Bisnis.com (archived)
- Bisnis.com (archived)
- OilPrice.com (archived)
- Indonesia Last Week (TikTok, primary source video) (archived)
Original video: TikTok source