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Jakarta Post

Pertamina pledges firm actions against ‘recalcitrant’ LPG distributors

Viriya P. Singgih (The Jakarta Post)
Jakarta
Sat, July 22, 2017

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Pertamina pledges firm actions against ‘recalcitrant’ LPG distributors Prime commodity: A worker piles 3-kilogram subsidized liquefied petroleum gas (LPG) canisters in a warehouse in Tasikmalaya, West Java, on May 24. (Antara/Adeng Bustomi)

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tate-owned energy giant Pertamina, which claimed that overpriced 3-kilogram liquefied petroleum gas (LPG) canisters were no longer sold across Greater Jakarta, has stated there will be firm sanctions against distributors who sell the product above the set retail price.

The government has set the price of the subsidized 3-kg LPG canisters at Pertamina’s official agents at Rp 16,000 (US$1.2) apiece. Meanwhile, retailers will sell the product to end users for between Rp 18,000 and Rp 20,000 apiece.

Pertamina said it conducted a field inspection in Greater Jakarta showing that, as of Friday, all 3-kg LPG canisters were sold in accordance to the targeted prices.

(Read also: Police uncover LPG syndicate, seize hundreds of gas canisters)

“However, if there are recalcitrant agents who sell overpriced 3-kilogram LPG canisters, Pertamina will hand down firm sanctions, including by giving a warning, reducing the allocation or even stopping the supply for them,” Yudi Nugraha, Pertamina’s spokesperson for Jakarta, Banten and West Java regions, said on Friday.

At present, Pertamina distributes around 960,000 canisters of 3-kg LPG per day to the Greater Jakarta market, equal to 2,900 metric tons of gas per day. (hwa)

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