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Jakarta Post

One-fuel price policy to be implemented in more regions

  • Fedina S. Sundaryani

    The Jakarta Post

Jakarta   /   Thu, March 23, 2017   /   03:09 pm
One-fuel price policy to be implemented in more regions Workers are seen on an offshore rig belonging to Pertamina Hulu Energi (PHE) near the East Java island of Madura. (Antara/Zabur Karuru)

State-owned oil and gas giant Pertamina plans to increase the number of regions to be included in the government's one-fuel price policy, which has been implemented in a number of regions across the country.

“Our main target remains remote regions, especially those that have yet to be connected with Pertamina’s distribution,” said Pertamina marketing director M. Iskandar on Thursday during a meeting with House of Representatives Commission VII overseeing energy.

“We are mostly prioritizing islands, but there are also several spots in Jakarta, such as in the Thousand Islands and one spot in Central Java, alongside several spots in Maluku and Papua.”

(Read also: Nine areas enjoy govt’s one-price fuel policy)

The number of regions included in the program will increase to 150 from the 148 previously listed in a ministerial decision, said Iskandar, adding that more regions would follow.

Under the program, the price of subsidized gasoline known as Premium is Rp 6,450 (48 US cents) per liter and subsidized diesel, known as Solar, is priced at Rp 5,150 per liter.

The program is President Joko “Jokowi” Widodo’s commitment to make the prices of fuel are the same in all regions.

Pertamina has implemented the program on Batu Island in North Sumatra, Central Siberut in West Sumatra, Jepara in Central Java, Raas Island in East Java, Tanjung Pengaus in West Nusa Tenggara, Waingapu in East Nusa Tenggara, Wangi-wangi in Southeast Sulawesi, Moswaren in West Papua and Long Apari in East Kalimantan.  (bbn)