INDONESIAUPDATES.COM, News En – President Prabowo Subianto has ordered the immediate resumption of retail sales for the subsidized 3-kilogram liquefied petroleum gas (LPG) canisters, following intense public backlash over the recent distribution restrictions.
The government initially implemented a policy allowing only official distributors authorized by state-owned gas company Pertamina to sell the low-cost LPG canisters. The restriction, aimed at ensuring subsidies reach low-income households and micro-businesses, sparked widespread difficulties for consumers struggling to obtain the essential fuel.
A particularly tragic incident on Monday underscored the impact of the restriction when a 62-year-old woman reportedly died while waiting in line for a 3-kg LPG canister in South Tangerang.
In response to mounting pressure, senior lawmakers engaged in discussions with Prabowo, leading to a swift policy reversal. Deputy Speaker of the House of Representatives Sufmi Dasco Ahmad confirmed the decision on Tuesday, stating that the president had instructed Energy Minister Bahlil Lahadalia to allow retailers to resume selling the canisters.
“The president’s instruction to the minister is that as of today, the retailers should sell [3-kg LPG] like normal,” Dasco announced in Jakarta.
Dasco clarified that the initial restriction was not a direct order from Prabowo but rather a regulatory effort to prevent price gouging by retailers. However, the widespread public reaction and logistical challenges prompted the government to reconsider its approach.
While the temporary rollback allows retailers to continue selling the subsidized fuel, Dasco noted that Indonesia would gradually transition them into “sub-base” agents under Pertamina’s supervision. This measure aims to ensure price stability and targeted distribution in the long run.
“There is no scarcity of 3-kg LPG canisters,” Dasco asserted, denying reports of a nationwide shortage. “The government’s objective remains the same – to ensure that subsidies reach those who need them most at an affordable price.”
The government’s rapid response to the public outcry highlights the balancing act between subsidy control and accessibility, as authorities work to refine policies without disrupting essential household and business needs.
Frequently Asked Questions (FAQ) on LPG Sales Policy Reversal
1. Why did the government initially restrict the sale of 3-kg LPG canisters?
The restriction was intended to ensure that the subsidized LPG canisters reached low-income households and micro-businesses by limiting sales to official distributors authorized by Pertamina. The government aimed to prevent misuse by wealthier individuals and businesses.
2. What caused the policy reversal?
Public backlash and difficulties in accessing the subsidized LPG led to widespread concerns. A tragic incident where a 62-year-old woman died while waiting in line for LPG highlighted the severity of the issue, prompting senior lawmakers to discuss the matter with President Prabowo, leading to the policy change.
3. When will retailers be allowed to sell the 3-kg LPG canisters again?
According to Deputy Speaker of the House of Representatives Sufmi Dasco Ahmad, President Prabowo has instructed Energy Minister Bahlil Lahadalia to allow retailers to resume selling the canisters immediately.
4. Was the initial restriction a direct order from President Prabowo?
No, the restriction was a regulatory measure aimed at preventing price gouging by retailers. However, Prabowo responded to the public outcry and adjusted the policy to ensure easier access to LPG for consumers.
5. Will the LPG distribution system change in the future?
Yes, while the rollback allows retailers to resume sales, the government plans to transition them into “sub-base” agents under Pertamina’s supervision to ensure price stability and proper distribution.
6. Is there an actual shortage of 3-kg LPG canisters?
No, according to Dasco, there is no shortage. The government’s objective remains to ensure the subsidies reach the right beneficiaries at an affordable price without manipulation in the supply chain.
7. How will the government ensure fair distribution moving forward?
By gradually integrating retailers into a more structured distribution network under Pertamina’s oversight, the government aims to maintain fair pricing and prevent unauthorized sales or misuse of the subsidized LPG.
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