Pertamina raises LPG price for industry by 25 %

State oil and gas firm PT Pertamina raised the selling price of liquefied petroleum gas (LPG) for businesses and industry in order to cover losses as the prevailing price has not reached the economic value, the company's official said.

Pertamina?s Vice President of Communications Affairs Wisnuntoro said in Jakarta on Monday that the price of LPG bulk (equal to 5,000 kgs) destined to industrial consumers rose by 25.2 percent to Rp 7,329.74 (1US$= Rp 9,460) per kg from the previous price of Rp 5,852 per kg, while the increase in the price of LPG sold in 50-kg container which is widely used by businesses such as hotels, restaurants, hospitals, and luxury houses by 35.5 percent to Rp 7,932.33 per kg.

?Despite the significant increase, the price remains below the economic value based on Aramco?s standard, which is around Rp 9,000 in January,? he said

According to him, Pertamina is still studying the possibility of adjusting LPG price every two weeks as the firm is doing for the sale of fuels to industry. (godang)