Critique of The Policy Of Private Gas Stations Purchasing Fuel From Pertamina: Implementation on Competition and The Fuel Market
Abstract
The downstream oil and gas sector in Indonesia is currently facing a regulatory shift where the government mandates private gas stations to procure base fuel exclusively from Pertamina to ensure national energy security. However, this policy creates a paradox between state sovereignty and the principles of fair business competition. Objective: This research aims to analyze the synchronization of the single-supply policy with Law No. 5 of 1999 concerning the Prohibition of Monopolistic Practices and to evaluate its impact on market efficiency. Method: This study employs a normative-juridical research method with a statute and conceptual approach, utilizing primary and secondary legal materials. Findings: The results indicate that the current market structure functions as a monopoly by law, which diminishes the strategic autonomy of private operators and creates consistent price disparities (IDR 250 to IDR 600 per liter). This dependency on a sole supplier who also acts as a primary competitor violates the essential facilities doctrine and creates significant barriers to entry. Conclusion: The study concludes that while energy security is a constitutional mandate, its implementation must not result in discriminatory practices that harm consumer welfare. The research recommends regulatory reforms, such as granting limited independent import quotas or ensuring fair third-party access to distribution infrastructure, to balance national interests with fair market competition.
Fields of Study & Subjects
Legal and Policy Analysis in Indonesia
Indonesian Legal and Regulatory Studies
Legal Studies and Policies
Publication details
- Journal / source
- International Journal of Applied Research and Sustainable Sciences
- Volume
- 3
- Issue
- 12
- Pages
- 967–976
- Publication date
- 1 January 2026