Indonesia Fuel Price Increase in Focus Amid Surge in Global Oil and Gasoline Markets
The prospect of an Indonesia fuel price increase in April 2026 is under close scrutiny as global oil prices continue to rise and the rupiah weakens against the US dollar.
These combined factors are increasing pressure on domestic energy costs, particularly gasoline, and fuelling speculation over a potential adjustment.
Geopolitical tensions involving Iran, the United States, and Israel have disrupted global supply chains. In particular, restrictions affecting the Strait of Hormuz have contributed to a sharp rise in oil prices. Brent crude oil for May futures rose by 2.92 per cent to USD 115.86 per barrel at the start of trading.
With global oil prices exceeding USD 115 per barrel, analysts estimate that fuel prices could increase between 5 and 10 per cent. Within this range, the price of RON 92 gasoline is projected to rise by around IDR 1,000 per litre.
Recent Gasoline Price in Indonesia
Between February and March 2026, Indonesia saw increases in several non-subsidised fuel products. Pertamax rose from IDR 11,800 to IDR 12,300 per litre, while Pertamax Green (RON 95) increased from IDR 12,450 to IDR 12,900. Pertamax Turbo also rose from IDR 12,700 to IDR 13,100 per litre.
Diesel products recorded similar increases. Dexlite rose from IDR 13,250 to IDR 14,200 per litre, and Pertamina Dex increased from IDR 13,500 to IDR 14,500 per litre.
However, subsidised fuels remain unchanged. Pertalite continues at IDR 10,000 per litre, while subsidised diesel (Solar) remains at IDR 6,800 per litre.
No Increase in Subsidised Fuel
The government has indicated that it will not rush into implementing an Indonesia fuel price increase, particularly for subsidised fuels, as this would directly impact public purchasing power and the national budget.
The Director General of Oil and Gas at the Ministry of Energy and Mineral Resources, Laode Sulaeman, confirmed that subsidised fuel prices will remain unchanged.
“There will be no increase in subsidised fuel. (Prices) remain the same,” he said on Monday, 30 March 2026, as quoted from CNBC Indonesia.
Budget Considerations and Policy Approach
Authorities have stated that any fuel price adjustment will be treated as a last resort, depending on fiscal pressure. Maintaining stability in subsidised gasoline prices remains a priority to protect household spending and manage the state budget.
Pertamina Responds to Rumours of Sharp Gasoline Price Increase
State-owned energy company PT Pertamina (Persero) has responded to circulating reports suggesting a significant increase in gasoline prices, including claims that Pertamax could reach IDR 17,850 per litre.
Pertamina’s Vice President of Corporate Communications, Muhammad Baron, dismissed the claims as unverified.
“The information circulating about the projected fuel price increase cannot be relied upon,” he said in to Tempo on Monday, 30 March 2026.
He added that no official decision has been announced regarding fuel prices effective from 1 April 2026.
“There has been no official announcement regarding the fuel prices that will take effect on April 1, 2026,” he said.
Baron also urged the public to rely only on official sources.
“Pertamina supports the government’s call to use energy wisely,” he said.
Southeast Asia Comparison: Oil Price Continue to Rise Amid Iran War
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Malaysia Adjusts Prices
Across Southeast Asia, several countries have already implemented fuel price increases. Malaysia raised fuel prices for the period of 26 March to 1 April 2026.
Diesel prices in Peninsular Malaysia increased by 80 sen to RM5.52 per litre (approximately IDR 23,607), while RON 97 gasoline rose by 60 sen to RM5.15 per litre. RON 95 also increased to RM3.87 per litre.
However, subsidised RON 95 under the Budi95 programme remains at RM1.99 per litre to maintain affordability.
Vietnam and Singapore See Sharp Increases
Vietnam has experienced one of the steepest increases in the region. Diesel prices have more than doubled since late February 2026, reaching 39,660 dong per litre. RON 95 gasoline rose nearly 68 per cent over the same period.
Singapore continues to record the highest fuel prices in the region. As of March 2026, RON 98 gasoline was priced at approximately IDR 54,986 per litre before discounts, while diesel reached around IDR 49,303 per litre.
Indonesia Remains Relatively Affordable in Southeast Asia
Despite recent increases, gasoline prices in Indonesia remain lower than in several Southeast Asian countries.
As of March 2026, average gasoline prices were:
- Singapore: approximately IDR 43,627 per litre
- Philippines: approximately IDR 24,316 per litre
- Thailand: approximately IDR 23,369 per litre
- Laos: approximately IDR 29,879 per litre
- Cambodia: approximately IDR 28,036 per litre
- Myanmar: approximately IDR 16,064 per litre
This positions Indonesia as relatively competitive in the region, particularly for subsidised fuels.
Outlook: Indonesia Fuel Price Increase Still Uncertain
While market pressures from global oil and geopolitical developments involving Iran continue to intensify, the Indonesian government appears cautious about implementing a broad fuel price increase.
For now, any adjustment to gasoline prices will depend on further developments in global oil markets and the government’s ability to manage budget pressures.
People Also Ask (PAA)
1. Will fuel prices increase in Indonesia in April 2026?
There is no official confirmation yet. The government has stated that subsidised fuel prices will remain unchanged, while non-subsidised prices are still under review.
2. Why is there speculation about an Indonesia fuel price increase?
The speculation is driven by rising global oil prices, geopolitical tensions involving Iran, and pressure on the national budget.
3. Which fuels are most likely to increase in price?
Non-subsidised fuels such as Pertamax (RON 92) and diesel products are more likely to be adjusted than subsidised fuels.
4. Are subsidised gasoline prices in Indonesia going up?
No. The government has confirmed that subsidised fuels like Pertalite and Solar will remain at current prices.
5. How do Indonesia gasoline prices compare to Southeast Asia?
Indonesia’s gasoline prices are relatively lower compared to countries like Singapore, the Philippines, and Cambodia, especially for subsidised fuel.
