he government plans to allocate at least 4.3 million kiloliters of Premium-brand gasoline in Java, Madura and Bali until the end of the year, in line with President Joko “Jokowi” Widodo’s instruction to ensure that the cheapest gasoline was available until 2019.
Downstream Oil and Gas Regulatory Agency (BPH Migas) head Fanshurullah Asa confirmed the plan on Wednesday, saying that the allocation was calculated based on the number of gas stations in the three regions.
“We have calculated on an assumption of around 2,090 gas stations and came up with 4.3 million kiloliters of Premium. Therefore, we will distribute about 11.8 million kiloliters of Premium across Indonesia this year,” he said.
The statement came after Jokowi signed a revised presidential regulation that required subsidized Premium gasoline to be sold at gas stations in Java, Madura and Bali.
Fanshurullah added that Pertamina needed to refill the gas stations in the three regions ahead of next week's mass Idul Fitri exodus.
Premium gasoline is the cheapest gasoline brand at Rp 6,550 (46 US cents) per liter, but has the highest emissions with a research octane number (RON) of 88. In comparison, the 90-RON Pertalite costs Rp 7,800 per liter.
Experts have said the revised regulation would burden Pertamina as the sole distributor of Premium gasoline, because the real market value of Premium was Rp 7,350. (dwa)
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