Finance Minister Purbaya Yudhi Sadewa emphasized that there is no disagreement between him and the House of Representatives (DPR) regarding the oil refinery development plan. This project will be initiated by the Daya Anagata Nusantara Investment Management Agency (Danantara Indonesia).

According to Purbaya, he has no disputes concerning Danantara’s responsibilities. He is merely ensuring the agency’s readiness, including its plan to build the oil refineries. President Prabowo Subianto has assigned Danantara to construct 18 refineries.

“Just proceed. There is no disagreement. We only need to ensure they have a plan and execute it quickly,” Purbaya said after the National Coordination Meeting on Policy Packages and Economic Stimulus at the Danantara Building on Wednesday (1/10/2025).

Purbaya stressed that building oil refineries is Danantara’s duty and expressed hope that the agency could actively support the refinery projects.

During a working meeting with Commission XI of the DPR, Purbaya highlighted Indonesia’s dependence on imported energy, which he attributes to the lack of new refinery construction in recent years. He made this point while discussing the realization of compensation and subsidies in the 2025 state budget, also criticizing Pertamina for delaying refinery projects.

“The refineries are not impossible for us to build, but Pertamina has been dragging its feet,” Purbaya asserted.

It is noteworthy that refinery development in Indonesia has been stagnant for nearly 31 years, with the last one being Balongan Refinery in East Java in 1994.

“Since the crisis, no new refinery has been built. In 2018, I pressured Pertamina to construct refineries, and they promised 7 new refineries in 5 years. Until now, none have been built. So please also monitor them, as I am monitoring from my side. This situation has caused huge losses for Indonesia,” Purbaya explained.