By: Rivka Mayangsari
Indonesia’s journey toward energy self-sufficiency is becoming increasingly tangible and measurable. Under the leadership of President Prabowo Subianto, the government has positioned energy independence as one of the main pillars of the national economic transformation. Policy direction is no longer limited to safeguarding supply, but is focused on building strong domestic capacity so that Indonesia can free itself from dependence on imported fuel (BBM). This strategy is widely seen as a major leap toward strengthening national sovereignty while reinforcing economic resilience amid global uncertainties.
President Prabowo Subianto has issued firm instructions to the National Energy Council (DEN) to gradually phase out fuel imports until Indonesia fully achieves energy self-sufficiency. This directive marks the beginning of a new phase in national energy policy—one that is bolder, more independent, and long-term in orientation. Energy is no longer viewed merely as a commodity, but as a strategic instrument that determines the nation’s prosperity.
The Daily Chair of DEN, Bahlil Lahadalia, explained that the President’s directive underscores the energy sector as a central focus of national development. According to him, future energy policies are designed not only to meet domestic needs, but also to strengthen Indonesia’s position amid global competition so the country does not depend on external parties. Within this framework, DEN plays a central role in formulating an integrated, cross-sectoral long-term energy policy direction.
The government has also prepared a national energy policy roadmap, which has now entered the implementation stage. This roadmap includes strengthening domestic production, modernizing energy infrastructure, establishing strategic cooperation with several countries, and reorganizing supporting institutions in the energy sector. To accelerate implementation, the government is currently preparing regulations in the form of a Presidential Regulation as a legal framework for accelerating energy self-sufficiency. With a strong regulatory foundation, program execution is expected to be more consistent and measurable.
Optimism toward achieving energy self-sufficiency is further reinforced by various strategic projects in the oil and gas downstream sector. One of the most prominent is the refinery development project through the Refinery Development Master Plan (RDMP) Balikpapan. This project has become a symbol of the revival of national energy processing capacity, as well as concrete evidence of the government’s seriousness in building the energy industry from upstream to downstream.
Economist from the State University of Surabaya (Unesa), Hendry Cahyono, assessed that the increased refinery capacity and improved fuel processing efficiency resulting from the RDMP Balikpapan project will have a direct impact on reducing dependence on fuel imports. For years, energy imports have been one of the factors burdening the country’s trade balance and fiscal position. With growing domestic processing capacity, this pressure can be gradually alleviated.
According to Hendry, the increased capacity of the Balikpapan refinery, which is now capable of processing more than 300,000 barrels per day, is a key factor in strengthening national energy security. Higher domestic fuel production will ensure more reliable supply, more stable distribution, and better price control. The impact will not only be felt in the energy sector, but will also spill over into overall economic stability.
Furthermore, the success of the RDMP Balikpapan project also generates a positive psychological effect on the investment climate. Large-scale energy projects that are progressing well and delivering results will increase investor confidence in Indonesia’s capacity to execute strategic projects. This reinforces the message that Indonesia is not merely an energy market, but also a competitive center for energy production and processing.
Strengthening domestic refinery capacity also makes the national economy more resilient to global energy price volatility. When global oil prices fluctuate sharply, countries with high import dependence become more vulnerable. Conversely, with its own production and processing capacity, Indonesia has a stronger buffer to maintain supply stability and price control domestically.
The direction toward energy self-sufficiency also runs in parallel with the energy transition and sustainability agenda. The government is encouraging the utilization of more diverse domestic energy sources, including natural gas and new and renewable energy, to strengthen the national energy mix. This diversification is essential so that self-sufficiency is achieved not only in terms of volume, but also in terms of quality and environmental sustainability.
The gradual phase-out of fuel imports is not merely a technical target, but a symbol of national independence. For decades, dependence on imported energy has been a structural weakness that limited economic maneuverability. Today, through integrated strategies, refinery strengthening, supportive regulations, and cross-institutional coordination, the foundation for energy independence is being built more solidly.
National confidence is rising. The public sees a clear direction, concrete programs, and tangible execution. Energy self-sufficiency is no longer just a slogan, but a working agenda with measurable stages. Synergy among the government, state-owned energy enterprises, policy institutions, and academic circles strengthens confidence that this target is realistic and achievable.
With a combination of firm leadership, strategic planning, and projects that reinforce domestic capacity, Indonesia is on an increasingly solid path toward energy self-sufficiency. This independence is expected to become a major catalyst for economic growth, job creation, and improved public welfare. Indonesia is growing ever more confident in facing the future as a nation sovereign in the field of energy.
— Energy Policy Observer