Indonesia’s government has raised its 2026 quota for subsidised diesel, known as Biosolar, by about 7.8 percent. The allocation rises to 20.27 million kilolitres from 18.64 million kilolitres previously set in the 2026 state budget. Wahyudi Anas, head of the downstream oil and gas regulator BPH Migas, announced the change at a working meeting with the Regional Representative Council’s Committee II in Senayan, Jakarta.
Anas said rising consumption and a price gap between subsidised and non-subsidised fuel had driven the decision. Consumers are shifting away from unsubsidised diesel as the gap widens.
Demand pressures and Regional imbalances
Biosolar distribution has climbed 15 to 17 percent a day since April 1, 2026. Average daily distribution now runs at 58 to 59 thousand kilolitres, against a normal level of 50 thousand. Realisation of the quota stood at 88.02 percent as of October 31, 2026, compared with a normal level of 83 percent.
Consumption exceeds the quota in 30 provinces. Anas said diesel demand in those areas is over quota across the board, and that most of them are mining regions.
Reallocation and budget
Pertamina has been allowed to shift quota between regions at district and provincial level to head off fuel queues. The subsidy budget for diesel and kerosene in the 2026 state budget is 25.14 trillion rupiah.
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Source: BPH Migas
