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EDITORIAL: Cleaner but not good enough
As a consequence, the government will have to phase out RON 88 gasoline, which constitutes 87 percent of fuel consumed in the country. This policy will definitely affect the majority of car owners, who have enjoyed subsidized Premium fuel for a long time at the country’s expense.
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State-owned oil and gas company Pertamina is among those who earlier voiced objections to the plan to produce cleaner fuel. (JP/Jerry Adiguna)
I
t is a small step, but still meaningful as the government has finally adopted Euro IV, an international standard for emissions from motorized vehicles that requires cars to use fuel with a sulfur content no higher than 50 parts per million (ppm).
It took the government 12 years to move forward as Indonesia used the Euro II emission standard since 2005. As a consequence, the government will have to phase out RON 88 gasoline, which constitutes 87 percent of fuel consumed in the country. This policy will definitely affect the majority of car owners, who have enjoyed subsidized Premium fuel for a long time at the country’s expense.
Environment and Forestry Minister Siti Nurbaya Bakar signed the regulation on March 10, which will take effect pending her official announcement.
The good news was not immediately welcomed by industry players.
State-owned oil and gas company Pertamina is among those who earlier voiced objections to the plan to produce cleaner fuel, arguing that it would be very costly and would be an additional burden on the already sluggish economy.
Full implementation of the new emission standards, however, will only come four years after an official issuance by the minister, as it only forces the industry to adopt higher standards for new vehicles. According to the Commission for Leaded Gasoline Eradication (KPBB), Pertamina has agreed to comply with the new standards, with the latter agreeing to procure gasoline for 600,000 new vehicles, which amounts to 1.9 million kiloliters, or 4 percent of total gasoline need in the country.
The government must be firm in implementing the regulation and not bow to any pressure as Indonesia is likely to be the last country to implement the Euro IV emission standard. Other countries have moved forward to Euro VI and have even begun to eye developing hybrid cars.
