Govt may cut domestic fuel prices in June: Purnomo
Tuesday, May 6 2003 - 06:48 AM WIB
Fuel prices for the domestic market may be cut in a couple of months following the fall in world crude oil prices, Minister of Energy and Mineral Resources Purnomo Yusgiantoro said Tuesday.
?Possibly, domestic fuel prices will be cut in June or July. We are discussing about it with the Ministry of Finance,? Purnomo told reporters.
World oil prices have been pushed down to around US$25 per barrel on fears that Iraq, whose oil reserves are the world?s second largest after Saudi Arabia, will flood the market with its oil. World oil prices hiked to about $40 per barrel in the run-up to the Iraq war.
Meanwhile, starting March 2002, Indonesia sets fuel prices for the domestic market every month based on Mild Oil Platts Singapore (MOPS) price index.
Currently, Indonesia?s domestic fuel prices are set at 5 percent above MOPS. (godang)