Pertamina Reaches USD 28 Billion Target for Domestic Product Purchases
- 23 Jul 2026 17:02 WIB
- Voice of Indonesia
Key Points
- Pertamina surpassed Rp500 trillion ($28 billion USD) in domestic procurement, successfully eliminating Indonesia's reliance on imported diesel through initiatives like B50 biodiesel blending and the Balikpapan refinery expansion (RDMP).
- Driven by 5.61% economic growth in early 2026, the government is prioritizing local engineering, workforce, and capital goods manufacturing to boost national competitiveness over a strategic 3-to-4-year window.
RRI.CO.ID, Jakarta – Indonesia’s state-owned energy company, Pertamina, has recorded domestic product spending of over Rp500 trillion (equivalent to USD 28 billion). This achievement supports the government’s efforts to strengthen energy self-sufficiency and mitigate global supply chain risks caused by geopolitical instability.
The milestone was highlighted at the Summit on Increasing the Use of Domestic Products (P3DN) in Jakarta on Wednesday, July 22, 2026. Pertamina’s strategic initiative is viewed as a vital pillar in maintaining national economic resilience amid high global uncertainty.
The government considers fuel supply diversification and domestic production self-sufficiency essential to maintaining energy stability. “It is crucial for Pertamina to pursue energy diversification. Thanks to the implementation of B50 and the completion of the Balikpapan RDMP, our dependence on imported diesel has been eliminated, enabling us to produce our own fuel,” Coordinating Minister for Economic Affairs Airlangga Hartarto conveyed.
He emphasized that energy security is the foundation for sustaining other industrial sectors. “When it comes to economic infrastructure, the top three priorities are energy, energy, and energy. Whether for manufacturing or digitalization, everything begins with energy. Electricity comes next, after which we can build industries and other sectors. This foundation is Indonesia’s bedrock, driven by Pertamina,” he said.
Furthermore, the government is encouraging strategic oil, gas, and petrochemical projects to maximize the use of local engineering capabilities and local workforces. Airlangga noted, “We want these roles filled by Indonesian engineers. Equipment such as wellheads, valves, pressure vessels, and chemical products are already produced locally. We expect these projects to generate real multiplier effects for domestic industry.”
Enhancing national competitiveness is considered urgent, given that Indonesia’s economic growth remained strong at 5.61 percent in early 2026. Competitive energy costs and a developing technology ecosystem remain key drivers in attracting foreign direct investment.
Airlangga noted that this growth momentum presents a critical window of opportunity. “This is an opportunity we must capitalize on over the next three to four years before global conditions shift again. We must work hard to seize this moment, and the key lies in building Indonesia’s capabilities in engineering and capital goods,” he mentioned.
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