Fuel is one of the main fuels that is needed throughout the world, including Indonesia. Based on existing data on the increase in crude oil imports in Indonesia, it has increased by 10% from 2021-2022. This is due to the increasing number of motorists in the country so that the use of petroleum is increasing every year. Even so, the government has not taken a firm path in reducing the amount of petroleum imports. There are several impacts that occur due to the soaring import figures.
The first is the increase in the distribution price of goods. Although this sounds trivial, it can cause an increase in all prices in the market because if the distribution price increases, the profit taken by the seller will be less if it is sold at the price before the increase in the distribution price of goods. Therefore, the sellers increase the price of their merchandise in order to get the maximum profit. this is because the effect of rising production prices is that the selling price also rises.
      Second is the problem of economic welfare. this can happen because many businesses go out of business because they cannot adapt to the environment caused by the increase in fuel where market prices rise. Entrepreneurs who open a business with small capital will usually no longer be able to buy the raw materials or products they sell because the price soars earlier than they buy it. Even so, this is not only experienced by entrepreneurs but also by employees who are unilaterally laid off from their companies which creates a lot of unemployment.
      Thirdly, there is inflation caused by the continuous increase in fuel prices every time. We know that the demand for petrol in Indonesia is not a small amount but unfortunately the increase in petrol still continues to occur. This is because Indonesia imports a large amount of finished and ready-to-use petroleum and at the same time the price of this ready-to-use petroleum continues to rise based on the exporting country. Although the government says that the price of oil sold in Indonesia is 50% of the world oil price because part of the price is borne by the government, this cannot be done continuously because it can have fatal consequences for the country because some of the country's spending money is used for free and ineffectively.
      From all we discussed above that the impact that occurs in Indonesia is quite diverse due to the increase in fuel that continues to occur from time to time which is like an increase in raw materials due to the increase in the price of distribution of goods, unemployment due to massive layoffs and the number of businesses that go out of business, and the last is inflation due to fuel prices that continue to rise from time to time due to the inefficiency of the government in regulating the export-import of petroleum. Therefore, President Jokowi Dodo, who has now served for 2 terms, still has a large debt in his promise regarding suppressing the import of fuel oil (BBM) which drains the country's foreign exchange which since 2019-2022 instead of decreasing, it has recorded an increase throughout the year.
