What Caused Fuel Shortage, Long Queues in Makassar?

Makassar, South Sulawesi recently experienced a fuel shortage and long queues at filling stations, according to Minister of Energy and Mineral Resources Bahlil Lahadalia. Lahadalia reported that the issue has been resolved and supplies have been fully restored. He conveyed his gratitude to President Prabowo Subianto for addressing the situation promptly.

According to Lahadalia, the government maintains a minimum national requirement of 18 to 20 days of fuel stocks. However, one contributing factor to the Makassar fuel shortage was a shift in consumption patterns, with more people switching from non-subsidized to subsidized fuel. This transition coincided with global crude oil prices surpassing US$100 per barrel, leading to higher fuel prices in Indonesia due to the lack of subsidy increases.

Lahadalia explained that this price disparity prompted consumers to switch to subsidized fuel, exacerbating the shortage. Additionally, police investigations revealed instances of subsidized fuel hoarding and misuse, further contributing to the long queues observed at various filling stations.

Notably, some vehicles had undergone illegal modifications to accommodate oversized fuel tanks, allowing them to store up to 700 liters or one full metric ton. These modifications were part of efforts to hoard fuel for personal use.

President Subianto directed the authorities to address the fuel shortage immediately. The government is working closely with state oil company Pertamina to implement fuel distribution policies effectively. Lahadalia emphasized the need for strict adherence to the directives issued by the government, with Pertamina serving as the primary executor of the policies.

Lahadalia also appealed to wealthier citizens who have access to subsidized fuel to refrain from consuming it. He stressed that the subsidy is intended strictly for eligible groups, urging those with luxury vehicles to utilize their share of the aid for those who genuinely need it.