Pertamina: Pertamina Upstream Sector Contributes The Majority Presenting a Net Profit of IDR 29.3T

PT Pertamina (Persero) reported its 2021 fiscal year performance to the Government as a shareholder by scoring a net profit of IDR 29.3 T. The majority of this profit was obtained from the upstream sector’s revenue which sharply increased. On the other hand, the downstream sector is experiencing losses due to the increasing crude oil prices and Pertamina’s fuel prices is below the market price.

This is an advantage for Pertamina, which has an integrated business from upstream to downstream, which allows cross-subsidies from upstream to downstream. Thus, it can maintain the balance between company profits and Public Service Bonds.

Acting Vice President of Corporate Communication of Pertamina, Heppy Wulansari, explained that Pertamina’s financial performance was positive, with almost doubled profits in the 2021 fiscal year. This profit is a consolidated profit from all Pertamina’s business lines from upstream, processing, and downstream.

“The overall profit earned is a combination of the six sub holdings and their subsidiaries, but the largest contribution to the net profit comes from the upstream sector due to the windfall with the increase in ICP prices,” Heppy said.

As for the downstream sector, especially the fuel and LPG marketing and distribution, at this time, the status is still at a loss due to the high cost of fuel production because the largest component is crude oil.

“However, Pertamina sangat mengapresiasi dukungan penuh Pemerintah melalui pembayaran kompensasi BBM penugasan dan penambahan subsidi energi pada APBN 2022. This is very meaningful to maintain people’s purchasing power and encourage economic recovery,” said Heppy.