Plan to raise fuel prices for industries still open for further discussion

Minister of Industry Fahmi Idris said in Jakarta Thursday that the plan to increase fuel prices for industries by about 10 percent next month following the sharp increase in crude oil prices in the world market in recent weeks was still open for further discussion.

"The (planned) increase has not been fixed," the minister was quoted as saying by Neraca. According to him, Pertamina's plan to raise fuel prices for industries beginning next month needed further discussion.

He said that there would be a meeting at the office of Vice President M. Jusuf Kalla today (Friday) to discuss the planned fuel price hike.

Pertamina said that it would increase the price of oil fuel for industries by about 10 percent beginning May to cope with the company's rising costs as the result of the sharp increase in crude oil prices in recent weeks.

The crude oil price in the world market has reached above US$70 per barrel last week, giving additional financial burden to Pertamina which still imports both crude oil and processed fuel to meet the local needs. (*)