Fuel and LPG Assignment Carried out by Subholding Commercial & Trading, Pertamina Ensures Effective and Efficient Distribution

Jakarta, September 1, 2021 – PT Pertamina (Persero) positively welcomes the government’s regulation that enables Pertamina to appoint assignments for supply and distribution of certain types of fuel (JBT), assignment fuels (JBKP), and 3kg LPG to its subsidiaries, PT Pertamina Patra Niaga (PPN) which is currently the Subholding Commercial and Trading.

The handover of the assignment documents for fuel was carried out by the Head of BPH Migas Erika Retnowati to the President Director of PT Pertamina (Persero) Nicke Widyawati and the President Director of PT Pertamina Patra Niaga Alfian Nasution. As of the assignment of 3kg LPG, the handover was done by the Directorate General of Oil and Gas of Ministry of Energy and Mineral Resources (BPH Migas) Tutuka Ariadji. It is believed that the assignment carried out by the subholding will be more effective and efficient, with monitoring and evaluation from Pertamina Holding to ensure the implementation runs effectively and efficiently.

“With the implementation carried out by Subholding that focuses on only running commercial and trading, both fuel and LPG, we hope the implementation will be more effective and efficient, the process will also be shorter, because all the authority for operations and applications are carried out by Pertamina Patra Niaga,” said the President Director of Pertamina Nicke Widyawati.

Fuel assignment is a follow-up of Presidential Regulation No. 69 of 2021 as the second amendment to Presidential Regulation No. 191 of 2014 regarding Supply, Distribution, and Retail Selling Price of Fuel that is emphasized in Decree of the Head of BPH Migas No. 1.60/P3JBT/BPH MIGAS/KOM/2021 and No. 61/P3JBKP/BPH Migas/KOM/2021.

Meanwhile, the assignment for 3kg LPG is in accordance with Presidential Regulation No. 70 of 2021 and Presidential Regulation No. 71 of 2021 about the supply and distribution of 3kg LPG Cylinders.

According to Nicke, the recently announced changes of the Presidential Regulation is in line with the government’s program to do restructuration within the SOEs, one of which is Pertamina as an oil and gas holding with the formation of 6 subholding under the Pertamina Group. With the restructuration, it certainly requires adjustment to the regulations, especially those related to the assignments from the government.

“Alhamdulillah, with this regulation, the mechanism has been legally regulated and allowed. Pertamina as the recipient of the assignment the reassigns it to a subsidiary, in this case, PT Pertamina Patra Niaga as the executor of the assignment. Therefore, PT Pertamina (Persero) remains responsible as a party who received the assignment, and carried out integrated functions starting from the planning to the execution stages,” concluded Nicke.**