Govt to distribute Rp12.4T in direct cash assistance to reduce impact of fuel hike

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    Illustration of a petrol pump in Indonesia. (IO/Dumaz Artadi)

    Jakarta, IO – The government has officially raised the price of fuel. The new prices were announced by Energy and Mineral Resources (ESDM) Minister Arifin Tasrif.

    “Today, September 3, 2022, at 13.30 WIB, the government has decided to adjust the price of subsidized fuel, to take effect from 14.30 WIB,” Arifin said in an official statement from the State Secretariat.

    The price of Pertalite gasoline, increased from Rp7,650 to Rp10,000 per liter, diesel fuel from Rp5,150 to Rp6,800 per liter, and Pertamax from Rp12,500 to Rp14,500 per liter.

    The government has been signalling the fuel hike recently as the fuel subsidy and compensation budget have tripled from Rp152.5 trillion to Rp502.4 trillion due to rising global oil prices.