Indonesian Government Will Not Raise Fuel Prices

The government sure will not raise fuel prices despite global crude oil prices surged near $ 100 per barrel. "Do not ask whether we will raise fuel prices. No," said Coordinating Minister Hatta Rajasa in a press conference after a limited cabinet meeting at the Presidential Office yesterday.

Crude oil prices on Friday last week has hit a record high in the last two years, namely U.S. $ 94.7 per barrel. The increase in oil prices triggered the world economic recovery post-crisis. In oil exchanges in London, Brent crude traded at the level of U.S. $ 93.4 per barrel. While in New York trading, oil prices reached the highest rate for 26 months, ie U.S. $ 91.6.

The increase in oil prices will certainly add fuel subsidies. For next year, the government subsidy of U.S. $ 95.5 trillion. But Hatta believes world oil prices are still likely to fall. "They should not panic, we've had oil price of U.S. $ 140, but We still survive, even growing."

If oil prices continue to rise, he said, the government will handle it in two ways, namely regulation of supply and demand. From the bidding, the government will boost domestic production of crude oil. While the demand, the consumption of subsidized fuel society suppressed by restrictions on the program next year. This program, according to Hatta, will continue to run and not be affected world oil prices.

Minister of Energy and Mineral Resources Saleh declared Darwin Zahedy crude oil price increase will strengthen the policy of limiting fuel. Because, if not restricted, "Subsidies will be even greater."

Members of the House of Representatives Energy Commission, Satya W. Yudha, calculate, if oil prices continue to rise, fuel prices nonsubsidized Pertamax types will reach Rp 9,000 per liter. "Who was wearing Premium Rp 4,500 per liter, because they have to use Pertamax, the cost is doubled," he said.

The condition is certain to be burdensome to the community. For that, he suggested that the government sells three types of fuel, which is subsidized Premium, Premium nonsubsidized, and Pertamax. Premium nonsubsidized can be sold for USD 5900-6000 per liter. That price, Satya said, "In accordance with the economical price premium, and not burdensome to the community."

Spike in oil prices near $ 100 a barrel also feared member of the Budget Committee, Harry Azhar Azis. If you do not want the budget to swell, he said, the government must successfully run the restriction of consumption of subsidized fuel. "Our concern is how the government maintaining the subsidy is not increased."

The increase in world oil prices of about 15-25 percent could still be accommodated by the budget. Condition, said Harry, program restrictions next year successfully resulting in the remaining space savings.

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Indonesian Government Will Not Raise Fuel Prices

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