Indonesia zeroed out LPG and plastic resin duties after naphtha prices surged up to 100 percent, linking the Hormuz crisis directly to packaging costs.
Indonesia consumes 8.6 million tonnes of LPG annually but produces only 1.7 million tonnes domestically. The 6.9-million-tonne import gap is now a national energy security problem.
The Visayas grid runs on negative operating margins. Its local plants cannot meet local demand without HVDC imports from Luzon and Mindanao — and April 16 showed what happens when those imports shrink.
ASEAN has a blueprint, a financing initiative, and a petroleum security agreement. What it does not yet have is the ratified, operational infrastructure to act collectively when a supply crisis hits.
The Russia-Indonesia crude deal extends beyond Pertamina to manufacturing, mining, and petrochemical sectors, reflecting the scale of Indonesia’s import gap.
Indonesia broke ground on IDR 116 trillion in energy projects, with Pertamina refinery expansions targeting 62,000 bpd of new gasoline capacity by 2030.