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Govt mulls switching fuel subsidy to Pertamax to curb pollution 

The Energy and Mineral Resources Ministry said the government was reviewing whether it would subsidize Pertamax, state-owned oil firm Pertamina’s RON 92 gasoline, in its latest effort to curb pollution.

Yohana Belinda (The Jakarta Post)
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Jakarta
Mon, August 28, 2023

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Govt mulls switching fuel subsidy to Pertamax to curb pollution Motorcycles line up for Pertamax fuel oil in this undated photograph. (Pertamina/Pertamina)

T

he Energy and Mineral Resources (ESDM) Ministry said the government was reviewing whether it would subsidize Pertamax, state-owned oil firm Pertamina’s RON 92 gasoline, in its latest effort to curb pollution.

Currently, the government only subsidizes Pertalite, Pertamina’s RON 90 gasoline, which has a slightly lower octane level than Pertamax.

Dadan Kusdiana, secretary-general of the ministry, told reporters on Thursday that fuel with higher octane levels would eventually have more efficient combustion, resulting in lower carbon dioxide (CO2) emissions.

“Subsidy on Pertamax is among those being discussed. We are looking at this technically and economically because it is different. Soon there will be an announcement from the ESDM Minister [Arifin Tasrif] but we are still discussing it internally,” Dadan said.

Read also: Critics denounce govt’s methods in tackling Jakarta pollution

Jakarta has consistently ranked among the top 10 most polluted cities in the world since May, according to data from Swiss air quality technology company IQAir.

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In response, the government has been scrambling for solutions to curb the pollution. Starting with creating artificial rain, ramping up random vehicle checks to ensure compliance with emissions testing and urging businesses to have their employees work from home.

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