Indonesia diprediksi akan memproduksi antara 800.000 sampai 830,000 barel minyak per hari (barrels of oil per day/bpd) di 2016. Cakupan target ini disetujui dalam sebuah rapat kerja antara Komisi VII (yang mengawasi sektor energi negara) dari Dewan Perwakilan Rakyat (DPR) dan Kementerian Energi dan Sumber Daya Mineral (ESDM). Rapat ini diadakan dalam konteks pertimbangan mengenai Anggaran Perencanaan Belanja Negara (APBN) 2016. Sejauh ini di tahun ini, hasil produksi minyak mentah Indonesia berjumlah rata-rata 802.046 bpd (dalam basis bulanan). Meskipun begitu, permintaan domestik berjumlah 1,43 juta bpd.

Lanjut baca ›

Indonesian state-owned energy company Pertamina raised the price of pertamax, a 92-octane gasoline, by 2.3 percent per 1 May 2015 as the result of recovering global oil prices. On Java, Indonesia’s most populous island, the price of pertamax rose by IDR 200 to IDR 8,800 (USD $0.68) per liter. Outside Java, fuel prices are generally more expensive due to high logistics costs. The price of premium, the low-octane gasoline which was heavily subsidized until the start of the year, was left unchanged at IDR 7,400 (USD $0.57) per liter.

Lanjut baca ›

Contrary to earlier reports the Indonesian government has not decided yet to completely phase out production and consumption of low-octane gasoline (known as premium) in Indonesia. Last week state-owned energy company Pertamina said that premium, a subsidized fuel that was introduced under the Suharto regime in order to support the population’s purchasing power (by making transportation costs artificially low) would be gradually replaced by 90-octane pertalite, a higher-grade fuel, starting from May 2015.

Lanjut baca ›

Despite some protests in Indonesia’s capital city of Jakarta, the Indonesian government raised the price of subsidized low-octane gasoline (premium) from IDR 6,900 (USD $0.53) per liter to IDR 7,400 (USD $0.56) over the weekend (a 7.2 percentage point price increase). Meanwhile, the price of subsidized diesel (solar) was raised from IDR 6,400 (USD $0.49) to IDR 6,900 per liter (+7.8 percent). The price increase was considered necessary as crude oil prices had increased over the past month, while the rupiah continued to depreciate.

Lanjut baca ›

The Indonesian government may raise the price of subsidized gasoline for April 2015 as the Indonesian Crude Price (ICP) rose through February and March from USD $52 per barrel to USD $57 per barrel based on data from the upstream oil & gas regulator SKK Migas. After the Indonesian government drastically reduced fuel subsidy spending at the start of 2015, subsidized gasoline prices are now set each month, in line with price fluctuations on the world market. For subsidized diesel the government provides a fixed IDR 1,000 per liter.

Lanjut baca ›

Indonesia’s Commission VII of the House of Representatives (DPR) - the commission that oversees the country’s energy affairs - and the Indonesian Ministry of Energy and Natural Resources agreed on Wednesday (28/01) to set a 825,000 barrels per day (bpd) oil production target for 2015 in the Revised 2015 State Budget (APBN-P 2015), up from an estimated 794,000 bpd of realized production in 2014. Since its peak production of 1.6 million bpd in 1995, oil output of Indonesia (a former OPEC member) has declined drastically.

Lanjut baca ›

Due to sharply fallen global crude oil prices the Indonesian government announced on Friday (16/01) that prices of fuels (low-octane gasoline and diesel) will be cut by an average of 14 percent, effective from Monday (19/01). The price of gasoline will drop 13 percent to IDR 6,600 (USD $0.53) per liter and diesel by 15 percent to IDR 6,400 (USD $0.51) per liter. Lastly, the government also reduced the price of Pertamina’s liquefied petroleum gas (LPG) by 4.2 percent to IDR 129,000 per 12-kilogram-cannister.

Lanjut baca ›

The Indonesia Investment Coordinating Board (BKPM) conducted a trial of its new one-stop integrated service on Thursday (15/01). This soft launch was attended by various Indonesian ministers. The introduction of the one-stop service aims to attract more (foreign) investment as it speeds up licensing procedures. Currently, Indonesia is characterized by a high degree of bureaucracy resulting in a lengthy licensing process as investors need to obtain permits from various ministries as well as local government institutions.

Lanjut baca ›

After the World Bank released a rather gloomy forecast for global economic growth on Tuesday (13/01) while crude oil prices continue to fall, global commodity prices have become under pressure on Wednesday’s trading day. In its latest Global Economic Prospects report, the World Bank said that the global economy will grow 3 percent year-on-year (y/y) in 2015, down from its previous estimate of 3.4 percent (y/y). Its growth forecast for economic growth in 2016 was also revised down from 3.5 percent (y/y) to 3.3 percent.

Lanjut baca ›

Indonesia’s Chief Economics Minister Sofyan Djalil said that Indonesia will further reduce prices of low-octane gasoline and subsidized diesel at the end of this month as global oil prices continue to fall (touching five-year lows). On 1 January 2015, the Indonesian government had already removed subsidy for widely-used low-octane gasoline (premium), while a fixed subsidy scheme was introduced for diesel (solar) meaning that the government now provides a subsidy of IDR 1,000 (USD $0.08) per liter of diesel.

Lanjut baca ›

The government of Indonesia has revised the macroeconomic assumptions that are stated in the State Budgets (APBN) of 2013 and 2014 after a meeting with the budgetary body of the House of Representatives (Badan Anggaran DPR) on Wednesday (28/08). It is the third time that the 2013 State Budget has been revised in order to put it more in line with recent global developments. As the government was also too optimistic when drafting the 2014 Budget, it felt the need for a revision (only 12 days after the announcement of the Budget).

Lanjut baca ›

In order to curb imports of oil, the government of Indonesia intends to stimulate the production of crude palm oil-based biofuel by increasing the mandatory content of fatty acid methyl ester (which is made from palm oil) in biodiesel products from 7.5 percent to 10 percent. Through this policy, the government claims to be able to save up to USD $3 billion as it needs less fuel imports. Fuel imports totaled USD $5.8 billion in the first six months of 2013 and form a major cause for the USD $9.8 billion current account deficit in Q2-2013.

Lanjut baca ›

Indonesia's current account deficit, which caused much alarm among the investor community, is expected to ease to about 2.5 percent of gross domestic product (GDP) in the second half of 2013. This assumption is supported by Indonesia's central bank and various analysts. The country's current account deficit reached USD $9.8 billion or 4.4 percent of GDP in Q2-2013. In combination with the weakening rupiah, higher inflation and the possible end to the Federal Reserve's quantitative easing program, investors have been pulling money out of Indonesia.

Lanjut baca ›

The government of Indonesia is busy preparing seven tax incentives to boost investment flows in 2014. Investments currently account for approximately 32 percent of the country's gross domestic product (GDP). Only domestic consumption owns a larger stake towards the economy with 55 percent. The regulatory framework related to the seven incentives is expected to be finalized by the end of this year. The incentives consist of five new ones and the relaxation of two older incentives, namely the tax holiday and tax allowance.

Lanjut baca ›

The Indonesian rupiah (IDR) is experiencing one of its worst losing streaks in a decade. On Friday (19/07), the currency weakened to IDR 10,070 against the US dollar, which implies a devaluation of 4.14% in 2013 so far. The central bank of Indonesia, Bank Indonesia, does all it can to support the currency: the country's lender of last resort supplies dollars to the market triggering the reduction of foreign reserves from USD $105 million at end-May to $98 million at end-June, and raised its benchmark interest rate (BI Rate) by 50 bps to 6.50%.

Lanjut baca ›

After several years of significant foreign capital inflows into Indonesia, a sharp contrast has been visible in recent weeks. Global panic that followed in the days after Ben Bernanke announced that the Federal Reserve intends to withdraw its quantitative easing program in 2014 (if economic recovery of the USA continues), hit Indonesia hard. It triggered a massive capital outflow from the country's stock exchange (IDX) as well as from government securities (Surat Berharga Negara, or SBN).

Lanjut baca ›

The heavily subsidized fuel price of Indonesia is likely to be raised next month according to Indonesian media sources. Various high officials, including Economic minister Hatta Rajasa, discussed the possibility to raise the fuel price from IDR 4,500 (USD $0.46) to IDR 6,500 (USD $0.67) per liter starting from May. This increase will only apply to private passenger cars, and not to motorcycles and public transportation. However, president Susilo Bambang Yudhoyono has not made up his mind yet.

Lanjut baca ›

The Indonesian government - through its Energy and Mineral Resources Ministry - has stated to provide fiscal incentives to encourage oil and gas exploration in Indonesia. Indonesia, a former OPEC member, has recorded a declining oil production since the 1990s due to a lack of exploration and investments in this sector. To reverse this situation, the government will provide a number of tax exemptions.

Lanjut baca ›

This year, Indonesia will have to face declining production numbers in its oil and gas sector. Gas output is assumed to decline by 14.77 percent compared to last year, while oil output will reach similar levels as in 2012, provided that there are no disruptions due to bad weather and leakages (a prerequisite that will be hard to meet).

Lanjut baca ›