Terms Being Sub Distributors Fuel Type Specific and Special Assignment

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Jakarta – Regulatory Agency for Upstream Oil and Gas (BPH Migas) has issued Regulation No. 6 of 2015 concerning the distribution of fuel oil type Specific and Special Assignment on the area that is not in the dealer.

This regulation was made in order to ensure the availability and distribution of Fuel and Fuel Type Specific Special Assignment in the entire territory of the Republic of Indonesia.

Here are the requirements to become a Sub Distributor:

  • Members and / or community representatives who will be Sub Distributors have business activities in the form of a trading business and / or business units that are managed by village-owned enterprises
  • Location establishment of Sub Distributors meet safety standards and environmental protection in accordance with the legislation
  • Has a storage facility with a capacity of 3,000 liters and most technically meet safety requirements in accordance with the provisions of the legislation
  • Own or control of conveyance of fuel that meet the standards of transport fuel in accordance with the provisions of the legislation
  • Has the distribution equipment that meets the technical and safety requirements in accordance with the provisions of the legislation
  • Has a location permit from the local government to build the facility Sub-Distributors
  • Location to be built Sub-Distributors generally means within at least 5 km from the location of the nearest dealer in the form of APMS, or 10 km from the nearest gas station or a dealer in the form above other considerations that could accountable
  • Having consumer need of data that the user has been verified by the local government

In these regulations, fuel type and fuel Certain Special Assignment will be distributed by the Sub-Distributor is obtained from the Agency established by business entities. Additionally Sub Distributor shall distribute in accordance with the prices set by the local government.