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Indonesia to Review Fuel Imports Quarterly After Pertamina Scandal

Bambang Ismoyo
February 26, 2025 | 3:24 pm
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Energy Minister Bahlil Lahadalia speaks to reporters shortly before meeting President Prabowo Subianto at the Presidential Palace in Jakarta on Feb. 4, 2025. (Antara Photo/Galih Pradipta)
Energy Minister Bahlil Lahadalia speaks to reporters shortly before meeting President Prabowo Subianto at the Presidential Palace in Jakarta on Feb. 4, 2025. (Antara Photo/Galih Pradipta)

Jakarta. The Indonesian government will begin reviewing fuel import licenses every three months as part of a broader effort to tighten oversight in the energy sector, following a major corruption scandal involving state-owned oil and gas company Pertamina's subsidiaries.

Energy and Mineral Resources (ESDM) Minister Bahlil Lahadalia said the move is part of ongoing reforms aimed at improving governance in crude oil and refinery product management.

"We must respect and fully support the legal process while upholding the presumption of innocence," Bahlil said in Jakarta on Wednesday.

He added that another key measure is a ban on crude oil exports, ensuring that all domestic production is processed within Indonesia to reduce reliance on imports.

Read More: AGO Investigates Oil Tycoon Riza Chalid in $11.9 Billion Pertamina Corruption Scandal

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The announcement comes as the Attorney General’s Office (AGO) named seven suspects in a corruption case involving Pertamina’s subsidiaries and contractors, which allegedly cost the state Rp 193.7 trillion ($11.9 billion) between 2018 and 2023.

Among those implicated are Riva Siahaan, president director of Pertamina Patra Niaga, and Yoki Firnandi, CEO of Pertamina International Shipping. The AGO alleges that Pertamina Patra Niaga, under Riva’s leadership, illegally blended subsidized Pertalite gasoline with the higher-priced, non-subsidized Pertamax. Meanwhile, Pertamina International Shipping is accused of inflating crude oil transportation fees and awarding contracts without competitive bidding.

Executives from Kilang Pertamina Internasional and three private companies—Navigator Khatulistiwa, Jenggala Maritim, and Orbit Terminal Merak—were also named as suspects.

Pertamina has pledged full cooperation with authorities, stating that it will comply with legal proceedings and support the government’s efforts to improve transparency and accountability in the energy sector.

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