AI could be a game-changer for Indonesia, driving significant advancements across various sectors. By harnessing the power of AI, Indonesia can enhance efficiency, reduce costs, and improve decision-making processes in both public and private sectors. For instance, AI can streamline government operations, optimize supply chains, and boost productivity in industries like agriculture, manufacturing, and finance.
In one such example Indonesia could potentially save up to Rp50 trillion (US$3.1 billion) annually by utilizing artificial intelligence (AI) to tighten controls on subsidized fuels, according to Maritime Affairs and Investment Coordinating Minister Luhut Binsar Pandjaitan.
Speaking at the coordinating ministry building in Nusantara Capital City (IKN), East Kalimantan, on Sunday, Pandjaitan urged state-run oil and gas company PT Pertamina to continue leveraging advanced technology to ensure the accurate distribution of subsidized gasoline.
“Subsidized fuels should only go to those who truly need them,” he emphasized.
Pandjaitan praised the role of digital technology, noting that Indonesia has saved as much as Rp3 thousand trillion (USD188.3 billion) by utilizing the government’s digital procurement platform, e-Katalog.
In addition to AI for controlling subsidized fuels, Pandjaitan also commended the Mineral and Coal Information System for Ministries/Institutions (Simbara), which has helped the government increase revenue. Through an automatic debt-blocking system, the government has collected Rp1.1 trillion (nearly US$68 million) in state revenue, he noted.”These examples show how technology has greatly enhanced our budget efficiency,” he remarked.
Earlier, Pertamina President Director Nicke Widyawati highlighted that the company has been using AI to manage its operations comprehensively, from upstream to downstream sectors.
“We’ve started using AI to process and analyze data quickly, enabling us to make more accurate decisions,” she said.With this advanced technology, Pertamina is able to process data from approximately 15 million daily transactions of subsidized fuels.
