Govt delays private gas stations operations until January

Downstream oil, gas regulatory body BPH Migas said on Thursday it had decided to delay operation of private gas stations in Indonesia until January next year.

Investors that have obtained licenses to open gas stations in Indonesia will have to wait until January 2006 before they can start selling gasoline, Chairman Tubagus Haryono said.

"The government has decided to extend PT Pertamina's monopoly in the business to the end of the year from Nov. 23 originally," he said.

The government still needs time in its "preparation to end Pertamina's public service obligation," Tubagus said.

He said the government has given licenses to three companies to enter the downstream sector, namely Malaysia's Petronas, PT Elnusa and Shell PLC.

The government plans to hike fuel prices during the weekend to curb an increase in fuel subsidy costs amid rising global oil prices.(godang)