Kadin: Government Not in Sync on Industrial Gas Supply

Jakarta, VIVA – The Vice Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) for the Industrial Sector, Saleh Husin, stated that the government is still not in sync when it comes to supplying gas for domestic industries.

He added that several industrial gas users under Kadin’s industrial division have complained about the difficulty of securing gas allocation for their operations.

According to Husin, gas plants are actually located in key industrial areas, such as in West Java and East Java.

"So I see that, at the implementation level in the field, there seems to be a reluctance to accept the government’s fixed pricing policy for industrial gas. As a result, the supply is being deliberately complicated in various ways. There's still a strong sense of sectoral ego, and they don’t consider the national impact—only their own sector," he said in Jakarta on Saturday (May 10).

He also highlighted that Indonesia’s economic growth in Q1 2025 did not even reach 5 percent. He urged President Prabowo Subianto to make surprise visits to gas-using industries.

"This has been confirmed by the Central Statistics Agency’s recent release, which shows that Q1 2025 economic growth was only 4.87 percent," Husin remarked.

"I hope President Prabowo makes unannounced inspections to industrial sites that rely on gas to understand firsthand what’s really happening," he continued.

Husin then emphasized that Indonesia's economy would not reach 8 percent growth if issues in the industrial sector persisted.

"As long as this issue is left unresolved, there is no hope of achieving 8 percent economic growth. I truly sympathize with President Prabowo, who is so passionate about advancing Indonesia, but unfortunately, he's not being supported by decision-makers on the ground, especially in terms of industrial gas allocation (AGIT), who are not in sync with the President’s vision," he stated.

The downstream development of coal is seen as a strategic step toward transforming Indonesia’s economy, aiming for energy sovereignty and strengthening the national industry.

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12 Juli 2025