Conducive Ministry of Energy and Mineral Resources Regulation, Pertamina Strengthens Oil and Gas SOE's Role

Jakarta, February 11, 2023 - With the support of conducive regulations, PT Pertamina (Persero) continues to strengthen its role as an SOE in the oil and gas sector. The government's oil and gas sector policies implemented by the Ministry of Energy and Mineral Resources (EMR) have had a positive impact on oil and gas operators in Indonesia, especially Pertamina.

President Director of PT Pertamina (Persero), Nicke Widyawati, expressed her appreciation to the Ministry of Energy and Mineral Resources for the full support given to Pertamina as one of the upstream operators which have become the driving force for the company to increase oil and gas reserves and production, as well as develop its work area.

"We are grateful for all the support from Mr. Minister Arifin Tasrif. Thus, Pertamina can contribute to the upstream sector. Indeed, this cannot be separated from the increasingly conducive government policies," said Nicke.

Apart from the upstream sector, added Nicke, the Ministry of Energy and Mineral Resources' regulatory support is also applied to the subsidized Solar and Pertalite pricing policies. For more than two years of the Covid-19 pandemic, the government has kept subsidized fuel prices far below market prices. Therefore, Pertamina can continue to distribute fuel at affordable prices to remote corners of Indonesia.

"With stable subsidized Solar and Pertalite prices, during the pandemic, Pertamina can support the Government in maintaining inflation and people's purchasing power," she added.

For this reason, Pertamina continues to strengthen infrastructure and distribution by adding fuel and LPG distribution outlets to expand the network and bring the sale point closer to the public.

Until now, Pertamina has 7,904 petrol stations operating throughout Indonesia. Pertamina has also built 6,232 Pertashops spread across various rural areas in the country.

Moreover, to ensure easy access for people in the 3T area, from 2017 to January 2023, Pertamina has built 417 petrol stations in the 3T area under the One Price Fuel program.

For LPG outlets, there are currently 4,950 PS0 agents, 860 non-PSO agents, 233 thousand PSO bases, and 55 thousand non-PSO outlets.

"When economic activity begins to stretch, in 2022, the government provided an additional subsidized fuel quota. Hence, the people's fuel and LPG needs were met," said Nicke.**