DIGIVESTASI - The Ministry of Energy and Mineral Resources (ESDM) announced that the upward trend in world oil prices continues. This of course has an impact on the selling price of kerosene (BBM), especially on non-subsidized fuels in Indonesia. Tutka Aliazi, Director General of Oil and Gas at the Ministry of Energy and Mineral Resources, said the upward trend in global oil prices is due to the ongoing conflict in the Middle East. Therefore, this affects the logistical aspects of crude oil around the world. 

Therefore, Prime Minister Tutka signaled that fuel price subsidies will end next month due to the Middle East conflict causing global oil prices to rise. "The intensity is still high in the Middle East because of the logistics disruption and it will eventually be affected. So we need to look at this (fuel price hike) very closely because oil prices tend to continue to rise. I agree with that," he added. 

As we all know, the price of Brent crude oil ended trading yesterday by strengthening. This increase was due to a supply shortage due to tensions in the Middle East. On Monday (February 19, 2024), Brent crude oil prices were at $83.56 per barrel, up $0.11 compared to yesterday. Meanwhile, West Texas Intermediate (WTI) crude oil will not be traded in the United States due to the President's Day holiday. 

Brent and WTI futures rose about 1.5% and 3%, respectively, in the past week due to rising conflict risks in the Middle East. Conflict in the Middle East continued over the weekend, with Israeli strikes forcing the closure of the second largest hospital in the Gaza Strip.