Govt still calculating whether to cut gas prices for fertilizer producers

The government is still considering whether or not to cut the price of gas so as to reduce fertilizer prices, oil and gas director general Rachmat Sudibyo said on Monday as reported by Kompas daily.

?Gas prices for fertilizer producers have been an issue for quite sometime. Officials from different ministries are continuing deliberating it,? Rachmat was quoted as saying.

Fertilizer producers had urged the government to cut the price of gas to US$1 per Million British Thermal Unit (MMBTU) from $1.3, the newspaper said. The price cut aimed to scale down the price of fertilizer.

Rachmat said gas prices must follow the economy scale of gas producers, Rachmat said. (*)