Antara, Jakarta – Indonesia is preparing to import fuel from the United States in a bid to ease gasoline shortages at private gas stations, including those operated by Shell and BP, the Energy and Mineral Resources Ministry said Friday.

Deputy Energy Minister Yuliot Tanjung said the plan is also tied to a broader trade arrangement with Washington under which the US has agreed to reduce import tariffs on Indonesian goods to 19 percent from 32 percent, effective Aug. 7.

As part of the agreement, Indonesia aims to buy about $15 billion worth of liquefied petroleum gas (LPG), crude oil, and refined fuel products from US suppliers such as ExxonMobil and Chevron.

"These imports will meet domestic needs while maintaining a balanced trade relationship with the United States," Yuliot told reporters in Jakarta.

Preliminary estimates show Indonesia may need to import around 1.4 million kiloliters of additional fuel this year, driven by rising demand for non-subsidized gasoline as consumers shift away from Pertalite, a subsidized grade. The government has instructed state-owned Pertamina and private operators to submit their import requirements through a centralized system managed by Pertamina to prevent oversupply or shortages.

Fuel scarcity at private filling stations has persisted since August after operators were not granted additional import quotas. Energy Minister Bahlil Lahadalia has suggested that private retailers source supplies directly from Pertamina.

Officials stressed that new imports will only proceed if Pertamina is unable to meet demand with existing stockpiles.

Source: https://jakartaglobe.id/business/jakarta-eyes-us-fuel-imports-to-ease-gasoline-shortag