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Prabowo Urges Fuel Savings as Global Oil Volatility Rises

Alfi Dinilhaq
March 13, 2026 | 8:56 pm
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President Prabowo Subianto addresses the 2026 Indonesia Economic Outlook in Jakarta on Feb. 13, 2026. (Handout)
President Prabowo Subianto addresses the 2026 Indonesia Economic Outlook in Jakarta on Feb. 13, 2026. (Handout)

Jakarta. President Prabowo Subianto has urged Indonesians to reduce fuel consumption as the government prepares for potential economic fallout from rising global oil prices and escalating geopolitical tensions.

Speaking during a plenary cabinet meeting at the Presidential Palace in Jakarta on Friday, Prabowo said Indonesia must adopt proactive measures to curb fuel use amid growing uncertainty in global energy markets, particularly linked to developments in Europe and the Middle East.

“We must take proactive steps, including reducing fuel consumption. We cannot assume that we will always remain safe regardless of what happens globally,” Prabowo said.

The call comes as oil prices have surged in recent weeks following US-Israeli strikes on Iran, which rattled global energy markets. Crude briefly climbed to around $120 per barrel after Iran blocked the Strait of Hormuz, a strategic shipping lane that carries roughly 20% of the world’s oil supply, or about 20 million barrels per day.

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Indonesia is responding by maintaining fiscal discipline while accelerating efforts to reduce reliance on imported fuel. The government is expanding biofuel blending, boosting renewable energy development and planning to build strategic crude reserves to strengthen long-term energy security.

For now, officials see no immediate need to revise the state budget or raise fuel prices. However, the government acknowledges that sustained high oil prices could strain public finances through increased fuel subsidy spending.

Prabowo said global geopolitical tensions could also push up food prices, making it important for the government to strengthen precautionary policies. He noted that Indonesia has secured several key food supplies while accelerating plans in the energy sector.

Still, he stressed that reducing energy consumption remains an important step to safeguard the country’s fiscal stability.

As an example, Prabowo cited austerity measures adopted by Pakistan during previous energy crises. Those policies included cutting salaries of cabinet members and parliamentarians, implementing work-from-home arrangements for up to half of public and private sector employees, and shortening the workweek to four days.

Pakistan also halted purchases of government facilities such as official vehicles, air conditioners, and office furniture while restricting overseas travel for officials.

Prabowo said such steps illustrate how governments can respond decisively during periods of economic stress.

“We cannot assume that whatever happens in the world we will always remain safe,” he said. “We are grateful for our current condition, but we still need to make efforts to save energy.”

The president added that Indonesia should study various efficiency measures, particularly in fuel consumption, to ensure the economy remains resilient amid global uncertainty.

“I believe that in two to three years we will be very strong,” Prabowo said. “But we still need to be prudent and conserve energy.”

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