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View all search resultsThe declining trend has eased the government's gas subsidy burden, which may also prompt the ministry to maintain the current indirect distribution of subsidized gas instead of switching to the direct subsidy distribution it had planned for 2020.
An association representing four industries, namely ceramic tile, glass, glove and oleochemical, have demanded that the government fulfill its promise to lower gas prices and help them become more competitive both in the domestic and international markets.
Indonesian Oil and Gas Pipeline Association (IAPMIGAS) chairman Hendra Jaya has said gas prices for the industrial sector could be lowered to US$6 per million British thermal unit (mmbtu) if gas distribution cost components were reduced.
Industry Minister Airlangga Hartarto has said that based on an economic impact assessment conducted by the government, price cuts to natural gas would deliver Rp 31 trillion (US$2.38 billion) in economic benefits every year.