Govt. House set crude price at $106 for 2014 budget
Friday, October 25 2013 - 02:01 PM WIB
The government and the House of Representatives have agreed to set the Indonesian Crude Price (ICP) assumption for the 2014 state budget at US$106/barrel, lower than 2013 assumption at $108.
The agreement was reached on Friday during the hearing between Minister of Finance Chatib Basri and the House' Commission XI which oversees among others financial affairs.
Both also agreed on several assumptions on energy sector such as electricity subsidy and LPG subsidy. A total of Rp 210.9 trillion is allocated for subsidized fuel and LPG. Exchange rate for one US dollar is set at Rp 10.500.
Previously, both agreed to set crude oil lifting target for next year at 870,000 bpd, natural gas lifting at 1.24 million boepd , making a combined oil and gas lifting target of 2.11 million boepd.
Other agreed 2014 targets include oil fuel quota volume of 48-51 million kilo liters, which comprises of 32.96 million kl of premium gasoline (including 05 percent bioethanol), 1.1 million kl of kerosene, and 16.44 million kl of automotive diesel (including 10 percent biodiesel).
Editing by Johannes Simbolon