Indonesian minister says country will not export electricity to S'pore unless 'price is right'

Indonesia's Minister of Energy and Mineral Resources Bahlil Lahadalia stated that the country could continue exporting electricity to Singapore, provided the transaction price is advantageous for Indonesia.

According to Kompas, Bahlil emphasised that the export price must align with the rates determined by the Indonesian government.

Otherwise, domestic electricity needs will take priority.

"As long as the price is right. As long as the price is suitable and follows our rate, it is certainly possible. But if the price isn't right, we will prioritise domestic needs," Bahlil said at the Jakarta Presidential Palace Complex on Nov. 2.

Bahlil reiterated that bilateral trade between Indonesia and Singapore must remain mutually beneficial.

The minister’s latest comments come after recent tensions between Singapore and Indonesia over cross-border haze and natural gas exports.

It was previously announced that Indonesia will begin cutting natural gas exports to Singapore by 31 billion British thermal units per day (BBTUD) from Oct. 24.

Warning against lobbying

Bahlil also cautioned sovereign investment agency Danantara against yielding to lobbying to lower electricity export prices, stressing that the statutory authority to issue export permits rests solely with his ministry.

"If the price is still unsuitable, we can't proceed. That's why I ask Danantara not to be lobbied to follow suit so that prices can be lowered," Bahlil stated.

Bahlil, who also serves as Coordinating Minister for Downstreaming and Energy Transition, said his ministry has already calculated the proposed export tariff in its submission, though he did not disclose specific figures.

At the Singapore-Indonesia Leaders’ Retreat in July 2026, Indonesian President Prabowo Subianto appointed Danantara to implement cross-border electricity trade with Singapore.

During the summit, Prabowo and Singaporean Prime Minister Lawrence Wong exchanged agreements on economic cooperation on electricity trade, amongst others.

Routing exports directly

On Nov. 2, Bahlil also spoke at the Minerba Convex 2026 forum, saying that Indonesia should stop routing its natural resource exports through third countries before they reach their final destinations.

"Our natural resources must no longer be routed through other countries. If we are sending goods to China, they should go directly from Jakarta to China, not stop over in that 'particular' country," the Jakarta Globe quoted Bahlil as saying.

"They just put a stamp on the goods and then claim that they are exports from their country. Where did you get those goods?" he added.

Bahlil said the practice had been going on for years and instructed his director generals to ensure that Indonesian commodities were no longer unnecessarily routed through intermediary countries.

Although he did not name Singapore, his remarks came after he accused the country in late October of reselling some of the liquefied natural gas (LNG) it imported from Indonesia to other countries, rather than using it for domestic consumption.

In response to Mothership's queries, a spokesperson for Singapore's Ministry of Energy, Trade and Industry (METI) subsequently clarified on Oct. 30 that "piped natural gas imported from Indonesia is for domestic use, and not for export".