Pertamina to replace oil tankers with pipelines

Monday, June 12 2000 - 03:30 AM WIB

The state oil and gas company Pertamina would use pipelines instead of oil tankers to transport its fuel and gas products in a bid to achieve efficiency, according to company president Baihaki Hakim.

Baihaki was quoted by the Antara news agency as saying that using pipelines would be much cheaper than using oil tankers.

He said that the use of oil tankers in the past was meant to protect the vested interest of certain group of people who wanted to benefit from the huge spending of Pertamina for oil tanker service.

He said that the use of pipelines would certainly cause the owners of the oil tankers to loose its profitable business with Pertamina.

Baihaki said that Pertamina had to improve its efficiency because the company is now in the scrutiny of the public. (*)

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