Pertamina Fuel Distribution Remains Stable Amid Corruption Case

A close-up of a person refueling a car with a blue fuel nozzle. Pertamina ensures stable fuel distribution despite challenges.

Indonesia’s fuel supply remains stable despite recent corruption allegations involving a Pertamina subsidiary. Concerns arose over potential disruptions, but officials assured the public that distribution would not be affected.

Deputy Speaker of the People’s Consultative Assembly, Eddy Soeparno, stated that the case would not interfere with operations. He emphasized that Pertamina follows strict procedures to ensure fuel availability. As fuel demand rises ahead of Ramadan, the government remains committed to maintaining fuel distribution stability across Indonesia.

 

Understanding the Pertamina Corruption Case

The Pertamina corruption case involves alleged misconduct in managing crude oil and refinery products between 2018 and 2023. Investigators uncovered fraudulent contracts and financial mismanagement by a Pertamina subsidiary and its contractors.

The Attorney General’s Office identified seven suspects, including top executives, who allegedly manipulated agreements for personal gain. These actions resulted in nearly Rp 200 trillion in state losses.

“Several unlawful actions have resulted in state financial losses of approximately Rp 193.7 trillion,” said Director of Investigations at the Junior Attorney General for Special Crimes, Abdul Qohar, in Jakarta on Monday night, February 24, 2025, as reported by Tempo.

Authorities believe the corruption scheme involved improper procurement processes and inflated costs. Investigators also found that lower-grade fuel (Pertalite) was purchased and blended to appear as a higher-quality product (Pertamax), a practice deemed illegal. Therefore, the government is now strengthening oversight to prevent similar fraud.

 

Government’s Assurance on Pertamina Fuel Distribution

Officials have reassured the public that fuel distribution remains secure despite the ongoing legal case. Eddy Soeparno emphasized that Pertamina operates based on standardized systems and mechanisms rather than individual decisions. “Pertamina operates based on standardized systems and mechanisms, not on individuals. Therefore, we are confident there will be no turmoil, disruptions, or obstacles in fuel distribution during preparations for Ramadan and Eid al-Fitr,” he said in a statement on Thursday, February 27, 2025 as reported by Detik.

In addition to distribution security, authorities also affirmed that fuel prices would remain stable. Bambang Brodjonegoro, a member of the Presidential Advisory Council for Economic Affairs, highlighted that Pertamina’s dominant role in supply ensures price stability. “Price stability is determined by supply and demand. As long as both are met, prices should remain stable. Pertamina remains the largest fuel supplier,” he stated as reported by Tempo.

With these assurances, the government aims to maintain consumer confidence and prevent panic buying as the holiday season approaches.

 

How Pertamina Is Handling the Crisis

To ensure uninterrupted fuel distribution, Pertamina is expected to act swiftly in response to the legal case. The company is likely to appoint interim leadership to oversee operations and maintain efficiency. Officials stress that fuel transportation and supply remain crucial to Indonesia’s economy, and measures are in place to prevent disruptions.

“As an internationally reputable company, I am confident that Pertamina will soon appoint officials or acting leaders to manage the roles of directors, both at Patra Niaga and International Shipping, given that fuel transportation and distribution are vital to the national economy,”Eddy Soeparno added.

 

Strengthening Oversight to Prevent Future Issues

In response to the corruption case, lawmakers are urging stronger internal supervision to prevent similar incidents in the future. Similarly, Eddy has called on the Ministry of State-Owned Enterprises and Pertamina’s Board of Commissioners, both at the parent company and its subsidiaries, to take a more proactive role in monitoring operations. Strengthening oversight is seen as essential to maintaining public confidence in Pertamina, a key player in ensuring the nation’s fuel supply.

 

 

 

Source: tempo.co, detik.com

Image: 89stocker / Canva

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