The Indonesian Ministry of Energy and Mineral Resources (ESDM) has opened the door for the Oil and Gas Testing Center (BBPMGB Lemigas) to import oil, including crude supplies from Russia. This new opportunity follows the issuance of Presidential Regulation Number 26 of 2026, which outlines strategic guidelines for energy procurement.
Presidential Regulation Number 26 of 2026 governs the procurement of crude oil, fuel, and Liquefied Petroleum Gas (LPG) to bolster national energy security. According to Deputy Minister of Energy and Mineral Resources Yuliot Tanjung, as reported on Friday, May 29, 2026, the regulation explicitly permits Lemigas to conduct import operations, diversifying the channels through which Indonesia secures its energy needs.
Yuliot explained that while state-owned enterprise Pertamina has historically been the primary entity handling energy imports, the new regulation allows Public Service Agencies (BLU) in the energy sector to step in. This shift is outlined in Article 4 of the regulation, which permits BLU entities to carry out imports based on collaborative agreements, whether through government-to-government partnerships or direct contracts between the central government and international suppliers.
To ensure national energy stability, the regulation provides further flexibility. Under Article 4, paragraphs (6) and (7), BLUs are empowered to procure imports outside of formal inter-government agreements specifically to meet national energy buffer stocks and operational reserves. Furthermore, Article 5 allows both BLUs and Pertamina to navigate urgent situations—such as price fluctuations or delivery constraints—by finalizing purchase contracts that address specific product types, origins, and timeframes as authorized by the Minister of Energy and Mineral Resources.
The government is currently developing additional regulatory frameworks to facilitate these processes. Director General of Oil and Gas at the Ministry of ESDM, Laode Sulaeman, noted that imports from Russia, in particular, require specialized handling and tailored schemes to ensure compliance and efficiency.
Strategic considerations regarding these imports are significant. Pertamina, which utilizes global bonds for its business operations, must navigate its financial obligations carefully to avoid any potential breaches of its international bond agreements. Consequently, the Ministry of ESDM is meticulously designing an ideal scheme to import Russian oil, aligning these efforts with President Prabowo Subianto’s commitment to secure 150 million barrels of oil from Russia. This import initiative is set to be realized in stages throughout the remainder of 2026.
Summary
The Indonesian Ministry of Energy and Mineral Resources has authorized the Oil and Gas Testing Center (Lemigas) to import crude oil, including supplies from Russia, following the issuance of Presidential Regulation Number 26 of 2026. This policy diversifies energy procurement channels by allowing Public Service Agencies (BLU) to handle imports alongside the state-owned enterprise Pertamina. These measures aim to strengthen national energy security and build strategic buffer stocks through government-to-government partnerships or direct contracts.
To ensure operational stability, the regulation grants flexibility in navigating market fluctuations and supply constraints. The government is currently developing specialized frameworks to facilitate Russian oil imports while carefully managing Pertamina’s international bond obligations. This initiative aligns with President Prabowo Subianto’s target to secure 150 million barrels of Russian oil, which is planned for staged implementation throughout 2026.