Energy Markets
Why are private petrol retailers in Indonesia facing shortages?
Indonesia's private petrol retailers are experiencing gasoline shortages as a result of a surge in demand. This is due to the fact that consumers have moved away from Pertamina, which is owned by the state. They were concerned about its fuel quality. The government has also capped imports. Shell, BP and other companies have had to sell diesel only at many fuel stations. Why did fuel demand at private retailers surge? In February, Indonesia's Attorney-General named former executives from Pertamina as suspects in an investigation into corruption. He claimed that the executives had given instructions to mix lower-grade gasoline with...