The 2025 Energy and Mineral Resources Ministry Budget Proposed to Increase to Rp9.38 Trillion: Here's the Breakdown

The Minister of Energy and Mineral Resources (ESDM), Arifin Tasrif, has proposed a budget of Rp9.38 trillion (approximately US$610 million based on current exchange rates) for his ministry in 2025. This figure is significantly higher than the Rp3.91 trillion (approximately US$254 million) indicative budget ceiling set by the Minister of Finance and the Minister of National Development Planning/Head of Bappenas (National Development Planning Agency) in the Joint Letter on Indicative Budget Ceilings (SBPI).

Arifin stated during a working meeting with Commission VII of the DPR (House of Representatives) on Wednesday, June 5, 2024, that the indicative budget comprises Rp3.13 trillion in pure rupiah funds, Rp282.01 billion from Revenue from State-Owned Enterprises (PNBP) producing units, and Rp493.58 billion from Government-Owned Business Entities (BLU).

He explained that the 2024 SBPI does not yet include Rp1.19 trillion in mineral and coal royalty PNBP and Rp4.57 trillion from the sale of mining products (PHT). These funds are earmarked for the construction of the Cisem and Dusem pipelines.

Arifin further stated that the 2025 ESDM Ministry work plan considers mandatory budget allocations, including salaries, office operations, PNBP, BLU for units, and budget allocation for education functions.

The proposed Rp9.38 trillion budget for next year will be distributed to various units within the ESDM Ministry as follows:

* Directorate General of Oil and Gas: Rp4.82 trillion
* ESDM Human Resources Development Agency (BPSDM ESDM): Rp994.6 billion
* Directorate General of Minerals and Coal: Rp742.12 billion
* National Energy Council: Rp654.03 billion
* Secretariat General: Rp565.72 billion
* Upstream Oil and Gas Regulatory Agency (BPH Migas): Rp555.98 billion
* Directorate General of Electricity: Rp491.52 billion
* Geological Agency: Rp254.29 billion
* Inspectorate General: Rp140.6 billion
* Agency for the Management of Energy and Mineral Resources (BPMA): Rp94.12 billion
* Directorate General of New, Renewable Energy, and Energy Conservation (EBTKE): Rp63.77 billion

However, Arifin noted that the 2025 indicative budget does not yet accommodate several priority activities, including the construction of a natural gas network for 100,000 households, converter kits (konkit) for 10,000 farmer packages, and converter kits for 15,000 fisherman packages.