Indonesia is bracing for potential disruptions to its energy supply as geopolitical tensions in the Middle East escalate. President Prabowo Subianto has directed Energy and Mineral Resources (ESDM) Minister Bahlil Lahadalia to proactively secure crude oil supplies from a diverse range of countries, a move prompted by Iran’s current restrictions on access to the Strait of Hormuz, a critical waterway for global oil shipments. This directive underscores Indonesia’s vulnerability to instability in a region vital to its energy security.
The situation highlights the interconnectedness of global energy markets and the potential for regional conflicts to have far-reaching economic consequences. While Indonesia has not been directly targeted by any restrictions, the possibility of further escalation and the closure of the Strait of Hormuz – a chokepoint for roughly 20% of the world’s oil supply, according to the U.S. Energy Information Administration – necessitates a proactive approach to safeguarding its energy needs.
Minister Lahadalia announced the President’s instruction following an inspection of a gas station in Colomadu, Central Java, on Thursday, March 26, 2026. “Based on that, the President last night ordered me and the team to immediately seek our oil supplies from almost all countries. Then optimize all the energy we have,” he stated, as quoted in a press release from the Ministry of ESDM. He emphasized the government’s commitment to maintaining adequate supplies, reserves, and price stability amidst the ongoing turmoil.
Securing Alternative Oil Sources
The directive to diversify oil sources is a key component of Indonesia’s strategy to mitigate potential risks. Currently, Indonesia imports a significant portion of its crude oil needs. According to data from the Indonesian Central Bureau of Statistics (BPS), in 2023, Indonesia imported approximately 338.3 million barrels of crude oil . Saudi Arabia, Iraq, and Qatar have historically been major suppliers. Expanding the network of suppliers will reduce reliance on any single source and enhance resilience to disruptions.
While Minister Lahadalia did not specify which countries are being targeted, the search will likely encompass major oil producers in Africa, South America, and potentially the United States. Negotiations with these nations will focus on securing long-term supply agreements and favorable pricing terms. The Indonesian government is also exploring opportunities to increase domestic oil production, though this is a long-term endeavor.
Domestic Supply Remains Stable, For Now
Despite the external pressures, Minister Lahadalia assured the public that the current supply of fuel – including gasoline, diesel, and liquefied petroleum gas (LPG) – remains secure. “In various opportunities, even in conditions where almost the whole world is affected, we are grateful to God for the President’s orders and the support of the people. Today, BBM [Bahan Bakar Minyak – fuel] in our beloved country, both gasoline, diesel and LPG, is well supplied,” he said. This assurance is crucial to preventing panic buying and maintaining economic stability.
Although, the minister acknowledged the unpredictable nature of the conflict in the Middle East. “the conflict that is happening right now, no one knows when it will end,” he stated. This uncertainty underscores the importance of proactive planning and diversification efforts. Indonesia’s strategic petroleum reserves, while not publicly disclosed in exact figures, are being closely monitored and managed to provide a buffer against short-term supply shocks.
Call for Public Cooperation
Beyond government action, Minister Lahadalia appealed to Indonesian citizens to practice energy conservation. “I ask for the support of all the Indonesian people. This is not just a government issue but an issue for all of us. I ask, suggest that we must use energy wisely. Wisely, I suggest not to do what is not necessary,” he urged. This call for collective responsibility reflects the understanding that managing energy resources effectively requires a national effort.
The Indonesian government has previously implemented energy-saving campaigns, promoting the use of public transportation, energy-efficient appliances, and responsible energy consumption habits. These initiatives are likely to be intensified in the coming months as the geopolitical situation evolves.
Looking Ahead: Monitoring the Strait of Hormuz
The situation surrounding the Strait of Hormuz remains the primary concern. While Iran has not completely blocked the waterway, increased tensions have led to heightened security risks and potential disruptions to shipping lanes. Indonesia is closely monitoring developments in the region, coordinating with international partners, and preparing contingency plans to address potential scenarios. The Indonesian Navy has increased its presence in the region to protect its maritime interests and ensure the safe passage of its vessels.
The next key development to watch will be any further statements from Iran regarding the Strait of Hormuz, as well as any diplomatic efforts to de-escalate the conflict in the Middle East. Indonesia’s ability to secure alternative oil supplies and maintain domestic energy stability will depend heavily on these external factors. The government has committed to providing regular updates to the public on the evolving situation and its response measures.
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