Receiving Assignment from BPH Migas, Pertamina Patra Niaga Now Sells Solar Diesel

MINISTRY OF ENERGY AND MINERAL RESOURCES

REPUBLIC OF INDONESIA

PRESS RELEASE

NUMBER: 299.Pers/04/SJI/2021

Date: 31 August 2021

Receiving Assignment from BPH Migas, Pertamina Patra Niaga Now Sells Solar Diesel

Head of Indonesian downstream oil and gas regulatory agency (BPH Migas), Erika Retnowati, on Tuesday (31/08) handed over the decision on the assignment of PT Pertamina Patra Niaga to perform the provision and distribution of Certain Types of Oil Fuels (JBT) and Special Task Fuel (JBKP) from 2018 to 2022. Previously, PT Pertamina (Persero) carried out the assignment.

"BPH Migas had agreed on the amendment during a committee's meeting. The basis for the amendment is Presidential Regulation Number 69 of 2021 which allows the assignment to be transferred from the Business Entity which was formerly assigned to its subsidiary," said Erika in Jakarta.

Erika went on to say that the amendment was aimed to enable the assigned entity to carry out the provision and distribution of JBT and JBKP optimally so as to ensure that subsidized fuels and special task fuel could be delivered to the right targets.

For the record, Certain Types of Oil Fuels (JBT) include subsidized kerosene and subsidized Solar diesel, while Special Task Fuel (JBKP) refers to Premium gasoline sold outside of Java, Madura, and Bali islands.

Since the assignment was given five years ago, BPH Migas has allocated an annual quota to the Assigned Business Entity down to its distributors. For 2021, the state energy company PT Pertamina (Persero) has been assigned to provide and distribute 15,580,040 KL of subsidized Solar and 500,000 KL of subsidized kerosene. Meanwhile, the quota for Premium gasoline reaches 10,000,000 KL.

BPH Migas evaluates the distribution of JBT and JBKP quarterly. The results of the evalution become the basis for the agency to adjust the assignment and distributors' quota in the following quarter.

The assignment will become effective as of September 1, 2021. The documents handed over today were Decision of Head of BPH Migas Number 60/P3JBT/BPH MIGAS/KOM/2021 on Amendment to Decision of Head of Downstream Oil and Gas Regulatory Agency Number 38/P3JBT/BPH MIGAS/KOM/2017 on Assignment of Business Entities to Perform the Provision and Distribution of Certain Types of Oil Fuels from 2018 until 2022, and Decision of Head of BPH Migas Number 61/P3JBKP/BPH MIGAS/KOM/2021 on Amendment to Decision of Head of Downstream Oil and Gas Regulatory Agency Number 40/P3JBKP/BPH MIGAS/KOM/2017 on Assignment of PT Pertamina (Persero) to Perform the Provision and Distribution of Special Task Fuel from 2018 until 2022. (IY)

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