Covid-19 and its effect on the supply and demand of fossil fuel energy: Indonesian context.

Abstract

Energy has a strategic contribution to the economic development of the countries. Due to Covid-19 that disrupts the demand and supply of fossil fuel energy products, thus, several sectors are also impacted. This study aims to investigate the effect of Covid-19 on the supply-demand of fossil fuel energy in Indonesia. The data in this research will be in the form of descriptive qualitative data by using secondary data analysis from several sources, the study reveals that the Covid-19 pandemic has a positive effect on Indonesian energy consumption. This result indicates that during Covid-19, 12.9%% oil fuel consumption decreased, 10.8% gas use decline, 0.9% LPG gas consumption rose 7.8%, electricity power declined, and the coal consumption 14.3% reduced, consequently the reduction in fossil fuel energy use will be very beneficial for dependency on imports which causes a lot of budget deficits, also potentially decreasing intensity and elasticity of energy then finally fulfilled sustainability energy.