ESDM: Pertamax Price Could Fall if Global Oil Eases
Economists say any cut would reach gas stations only gradually because the exchange rate, distribution costs, margins and taxes also affect prices.
The ESDM Ministry said the price of nonsubsidized fuel, including Pertamax, could fall if global oil prices weaken. ESDM Minister spokesperson Dwi Anggia said the system follows market mechanisms and the base-price formula in Kepmen ESDM Number 245.K/MG/01/MEM.M/2022. Any decline would not happen daily because businesses still adjust prices to economic costs. Bank Permata chief economist Josua Pardede said prices at gas stations are determined not only by crude oil, but also by finished fuel prices in regional markets, the rupiah exchange rate, procurement costs, storage, distribution, company margins and taxes. He calculated the current economic price of Pertamax at around Rp16.500 per liter, slightly above the retail price of Rp16.250 per liter. ESDM added that the subsidized prices of Pertalite and diesel have not changed.