- The Minister of Energy and Mineral Resources ("Minister") recently issued Decree No. 37.K/MG.02/MEM.M/2023 ("Decree 37/2023") on Technical Guidelines for the Targeted Distribution of Certain Refillable Liquefied Petroleum Gas ("LPG"), which has been in force since 27 February 2023.
- The distribution of certain refillable LPG is being targeted at the following parties: 1) Household consumers; 2) Micro-scale enterprises; 3) Targeted fishermen; and 4) Targeted farmers.
- In order to ensure that distributed LPG reaches its intended targets, distribution is to be implemented in the following two phases: 1) Phase I: The recording of data on LPG consumers by business actors who are assigned to distribute certain types of LPG in order to provide a basis for the targeted distribution of LPG; 2) Phase II: Validation process for consumers of certain LPG that have registered using their names and addresses in order to determine volumes of certain LPG purchases on a monthly basis.
- It should be noted that any business actors that are appointed for distribution purposes will be required to comply with various obligations in order to ensure adequate targeted distribution of certain LPG, including the obligation to secure a required Business License Number (Nomor Induk Berusaka/NIB). Further details on these obligations are set out under the Appendix to Decree 37/2023.
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