Jakarta, Beksi Energy – The government has revised the reference price regulation — the market is re-evaluating price-setting and contract mechanisms.

Indonesia has removed the requirement that coal sales must use the government’s reference price as a floor price — a change that allows for more flexible and competitive pricing in international markets. This decision alters the negotiation mechanism between sellers and buyers.

Previously, the rule aimed to protect state revenue and maintain domestic price stability; however, it faced resistance from international buyers seeking a market-based mechanism. The removal of the rule facilitates transactions but requires higher transparency to prevent speculative practices.

For exporters, this change could mean opportunities for higher margins when demand strengthens, but also potential pressure if global prices fall. For buyers, the policy provides greater bargaining power in the spot market and short-term contracts.

Regulators state that the change is responsive to market dynamics; however, industry players are closely observing the technical implementation — for example, verification standards, transaction reporting, and coordination with quota policies or export bans during crises.