DEN member Saleh Abdurrahman said stricter oversight was necessary to ensure the subsidy reached only eligible households, warning that the widening price gap between subsidized and nonsubsidized LPG was driving consumers to switch to the cheaper 3-kg canisters.

“Supervision over the distribution of 3 kg LPG needs to be tightened so that the subsidy can be received by eligible community groups,” Saleh said on Sunday, as quoted by Bisnis.

He stressed that regional administrations must play a greater role in monitoring distribution at the local level to ensure the subsidy remains on target.

“Continuous guidance for LPG bases is also necessary because they spearhead the subsidized LPG distribution,” he added.

Saleh noted that rising demand and the growing price disparity between public service obligation (PSO) and non-PSO LPG had fueled a shift in consumption patterns, putting further strain on the subsidized quota.

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He argued that Indonesia should move toward direct cash transfers for energy subsidies or adopt a fully closed subsidy scheme using national identity numbers, similar to current data-driven initiatives. 

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