Surge in crude oil price will not affect Pertamina's fuel stocks

Pertamina's president director Widya Purnama has said that the latest increase in the crude oil price in the international market will not affect the state oil and gas company's fuel stocks.

"The national stocks remain safe, and enough for another 20 days," Widya told Petromindo.Com on Friday. He was asked to comment on the possible impact of the surge in the crude oil price in the international market to US$65 per barrel.

Widya said that although the existing fuel stock was still lower than the ideal level, the fuel supply in the retail fuel market would not be affected by the sharp increase in the crude oil price. The national fuel stock is considered ideal, if it is enough to meet the consumption for 22 days.

The government has increased the price of fuels sold to industries beginning Aug. 1 to cope with the impact of the surge in the crude oil prices. The price of diesel oil has been increased to Rp 5,480 per litter, from Rp 2,200 per liter, Premium price to Rp 4,600 per litter from Rp 2,400 per litter, and the kerosene price to Rp 5,240 per litter from Rp 2,800 per litter.

The government plans to increase the price of the fuel sold to public within the next few weeks to reduce the government's subsidy burden. "If the government wants to increase the fuel price, we will support it," he added. (dino)