No fuel price hikes, but efficiency

Energy minister Darwin Z. Saleh has confirmed the government will not increase fuel prices, but calls for efficiency and supervision by regional governments to make sure subsidized fuels are available only to the eligible consumers.

The supervision is needed to ensure consumption of subsidized fuels does not exceed the quota. Darwin said Pertamina had been instructed to supply fuels to the public.

Chairman of downstream oil and gas regulator (BPHMIGAS) Tubagus Haryono urged consumers to shift to non-subsidized gasoline Pertamax if the subsidized gasoline runs out.

"If consumption of subsidized gasoline in a certain region meets the quota, consumers should buy Pertamax," he said.

BPHMIGAS, the police and regional governments will monitor distribution of the subsidized fuel.

Pertamina president director Karen Agustiawan claimed the state company would supply adequate volume of subsidized fuel and Pertamax. She said supply of Pertamax was enough for the coming 50 days without having to import.

Darwin said the government would not raise fuel prices as foreign exchange reserves reaches US$100 billion. (godang)