Harga Sebuah Kebijakan bahan Bakar Fosil: Subsidi Pemerintah Indonesia di Sektor Hulu Minyak Gas Bumi
Summary
This executive summary describes a study conducted by PT. Q Energy South East Asia and PT. Cakramustika Swadaya for the International Institute for Sustainable Development (IISD) to identify and measure subsidies provided to oil and gas producers in Indonesia's upstream sector. The study aligns with Indonesia's commitment at the September 2009 G-20 summit to rationalize and eliminate inefficient fossil fuel subsidies.
Key insights
- The study identified 17 activities where subsidies could exist, categorizing them into four types based on the World Trade Organization (WTO) Agreement on Subsidies and Countervailing Measures: direct and indirect transfers of funds or liabilities, government revenue foregone, provision of goods and services below market price, and income or price support.
- For 2008, the study estimated total subsidies of US$ 1.799 billion across three specific areas: Domestic Market Obligation (DMO) for oil (subsidies from industry to Pertamina refineries) at US$ 1.554 billion, tax incentives for imports of goods and services at US$ 130 million, and investment in the form of loans at US$ 115 million.
- The research found that subsidies also exist in the downstream oil and gas industry, which are typically harder to identify. Specifically, domestic gas users benefit from prices significantly below international market rates (gas DMO), and Pertamina refineries benefit from crude oil purchased through the oil DMO system at substantial price reductions.
- Tax incentives for imports of goods and services and investment loans positively contributed to the Indonesian government's goals of increasing exploration and encouraging investment in finding new oil and gas fields. However, the study did not determine the efficiency of these subsidies or if alternative methods could achieve the same goals.
Cite the original document
- APA
- International Institute for Sustainable Development (n.d.). Harga Sebuah Kebijakan bahan Bakar Fosil: Subsidi Pemerintah Indonesia di Sektor Hulu Minyak Gas Bumi. https://www.iisd.org/system/files/publications/ffs_awc_indonesia_execbahasa.pdf
- Chicago
- International Institute for Sustainable Development. Harga Sebuah Kebijakan bahan Bakar Fosil: Subsidi Pemerintah Indonesia di Sektor Hulu Minyak Gas Bumi. n.d. https://www.iisd.org/system/files/publications/ffs_awc_indonesia_execbahasa.pdf.
- Wikipedia
- {{cite report |author=International Institute for Sustainable Development |title=Harga Sebuah Kebijakan bahan Bakar Fosil: Subsidi Pemerintah Indonesia di Sektor Hulu Minyak Gas Bumi |url=https://www.iisd.org/system/files/publications/ffs_awc_indonesia_execbahasa.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{internationalinstituteforsustainabledevelopmentndharga, author = {{International Institute for Sustainable Development}}, title = {{Harga Sebuah Kebijakan bahan Bakar Fosil: Subsidi Pemerintah Indonesia di Sektor Hulu Minyak Gas Bumi}}, institution = {International Institute for Sustainable Development}, url = {https://www.iisd.org/system/files/publications/ffs_awc_indonesia_execbahasa.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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