Targeted LPG Subsidy - Lhokseumawe City Government and Pertamina Patra Niaga Sumbagut Region Conduct Impromptu Inspections at Bases and Businesses Establishments

Lhokseumawe, June 25, 2024 – The Lhokseumawe City Government, in collaboration with PT Pertamina Patra Niaga North Sumatra (Sumbagut) Region, conducted impromptu inspections at several 3 kg LPG bases in Lhokseumawe City and business establishments such as hotels, restaurants, and cafes on Monday (24/6). This initiative aims to oversee the subsidized LPG distribution to ensure it reaches the intended recipients.

Present at the inspections were Hermawan Bagus Prabowo, Sales Branch Manager (SBM) Rayon IV Aceh, and Mohammad Rizal, Head of the Industry, Trade, Cooperatives, and Small and Medium Enterprises Office (Disperindagkop and UKM) of Lhokseumawe City.

Hermawan stated that the inspection team visited two 3 kg LPG bases, namely UD. Sam-Sam and UD. Mina Jaya. The 3 kg LPG price at these bases follows the Highest Retail Price (HET) set by the local government.

"Both bases have already implemented the appropriate subsidy application or Merchant Apps Base (MAP) according to the mechanism. Through MAP, it is clearer who and how much 3 kg LPG each user consumes per month, ensuring the accountability of the 3 kg LPG subsidy distribution to the government," said Hermawan.

In addition to the base inspections, the Lhokseumawe City Government, with PT Pertamina Patra Niaga Sumbagut Region, also inspected LPG utilization at several hotels and restaurants in Lhokseumawe. The inspection team visited three locations. No 3 kg LPG was found at these locations.

"The two hotels and one restaurant were using 12 kg LPG. We thank the business owners for using Pertamina's Bright Gas. We also urge the public to continue monitoring the distribution of subsidized LPG to ensure that it is used by those entitled to it," he explained.

Meanwhile, Mohammad Rizal, Head of the Industry, Trade, Cooperatives, and Small and Medium Enterprises Office (Disperindagkop and UKM) of Lhokseumawe City, stated that the inspections were conducted to ensure the proper targeting of subsidized LPG utilization in Lhokseumawe City.

"The government has issued regulations on the parties eligible for subsidized LPG, and we hope those who have been cheating will stop for the sake of accurate targeting," said Rizal.

Susanto August Satria, Area Manager of Communication, Relations, and CSR of Pertamina Patra Niaga Sumbagut Region, added that Pertamina Patra Niaga Sumbagut Region will continue to enhance synergy with the Lhokseumawe City Government to monitor 3 kg LPG distribution accurate targeting.

It should be noted that certain businesses are prohibited from using subsidized LPG, as stated in the Circular Letter of the Director General of Oil and Gas No. B-2461/MG.05/DJM/2022. Businesses prohibited from using 3 kg LPG include hotels, restaurants, laundry services, livestock farms, tobacco farming, batik, welding services, and others.

"If indications of fraud are found, the public can immediately report to law enforcement authorities and contact the Pertamina Call Center (PCC) at 135," said Satria.

Fadjar Djoko Santoso, Vice President of Corporate Communication of Pertamina, expressed full support for the inspections carried out by Pertamina Patra Niaga in collaboration with the regional government.

"Cooperation with the regional government is expected to promote more accurate targeting of subsidy distribution," said Fadjar.

Pertamina, as a leading company in the energy transition, is committed to supporting the Net Zero Emission 2060 target by continuously promoting programs that directly impact the Sustainable Development Goals (SDGs) achievement. All these efforts align with Environmental, Social & Governance (ESG) implementation across all Pertamina's business lines and operations.**

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