Fuel queues reach Bali as shortages spread to more regions
▼ Bad for Indonesia fuel queues spread, state oil firm strained
Drivers on Bali have been spending hours in line for petrol. Nikkei Asia reports that fuel shortages have now reached the island and several other regions, with vehicles lining up at a Pertamina station in Denpasar and pump prices climbing. Al Jazeera, which filmed the queues, said the shortage hit subsidised fuel, the cheaper grade most people buy, and that fresh supplies only arrived two days after the pumps ran dry.
That delay lands harder on Bali than the word "queue" suggests. The island moves on motorbikes: people ride to work, deliver food, and carry tourists on them. Two days without cheap fuel is not an inconvenience for a driver, it is two days of lost income. Nikkei's reporters, Natsumi Kawasaki and Rezha Hadyan, say both residents and visitors were caught in the lines.
Neither report explains why the fuel stopped arriving, and that gap is the part worth watching. Nikkei offers one clue: an analyst told the paper that Pertamina is under growing pressure on its cash flow, which is the money a company has on hand to pay its day-to-day bills. The state energy company sells subsidised fuel below the world price, and the government pays back the difference afterwards. When oil is expensive, that gap grows and Pertamina carries it until the state settles up. If a company in that position buys and ships less, the thin end of the supply chain feels it first, and islands sit at the thin end.
Why it matters
If you ride for a living in Bali or the other regions hit, these queues cost you working hours, and the reason they appeared decides whether they come back. A late delivery is fixed in days; a cash problem at Pertamina is not. Watch whether the government speeds up what it owes the company, or quietly lets the subsidised price rise instead, because that choice ends up in your tank either way.
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