Team to tackle kerosene scams<\/p>\n
Muninggar Sri Saraswati, The Jakarta Post\/Jakarta<\/p>\n
Blaming those ubiquitous \"certain parties\" for causing the
\nkerosene scarcity through their fuel-smuggling deeds across
\nIndonesia, the government said on Friday it would establish a
\njoint team to fight the illegal practices that were undermining
\nits fuel policy.<\/p>\n
Kerosone shortages have continued in many areas around the
\ncountry following the government's decision to raise the fuel
\nprices by an average of 29 percent on March 1, but the with the
\nkey exception of the household kerosene, which remains subsidized
\nat a price of Rp 700 per liter. It was meant to alleviate the
\nburden of low-income families -- the largest group of users.<\/p>\n
Many have blamed the problem on the ever-present \"certain
\nparties\", apparently some from within and some from outside of
\nstate-owned oil firm Pertamina, who also mixed the cheaper
\nkerosene with gasoline. They sell the mixed gasoline at the
\nnormal prices and increase their profit margin.<\/p>\n
The plan to set up the team to look into the corruption was
\ndecided in a meeting led by President Susilo Bambang Yudhoyono to
\ndiscuss the issue on Friday.<\/p>\n
Also attending were National Police chief Gen. Da'i Bachtiar,
\nIndonesian Military commander Gen. Endriartono Sutarto, State
\nIntelligence Agency head Maj. Gen. Syamsyir Siregar, Coordinating
\nMinister for Political, Legal and Security Affairs Widodo Adi
\nSucipto and Minister of Energy and Mineral Resources Purnomo
\nYusgiantoro.<\/p>\n
Endriartono said the President ordered Widodo to lead the
\nteam, consisting of police, military, Pertamina and BIN officers.<\/p>\n
\"The President does not want negative excesses from the fuel
\nprice hike policy, such as kerosene scarcity, smuggling and fuel-
\nmixing, to cause more burdens on the people,\" Endriartono
\nannounced after the meeting.<\/p>\n
The team will mainly be tasked with preventing possible
\nmanipulation of kerosene supplies for households, reducing
\npengoplosan, the mixing of kerosene with other fuel, and
\nminimizing fuel smuggling.<\/p>\n
Da'i said the police would take the \"persuasive approach\" to
\ndeal with the manipulation that led to the kerosene scarcity.<\/p>\n
\"The kerosene supplies from Pertamina are actually sufficient.
\nIt has also delivered additional supplies, but the scarcity
\ncontinues. We think there are people buying kerosene in a
\nsignificant amount when the supply is delivered from one station
\nto another. We'll prevent it through the persuasive approach,\" he
\nsaid.<\/p>\n
The government maintained the subsidized price of kerosene for
\nhouseholds at Rp 700 per liter, but raised to Rp 2,200, the price
\nfor industry.<\/p>\n
\"Why does the kerosene scarcity continue? We smell foul play
\nby 'certain groups' behind it,\" Da'i elucidated.<\/p>\n
Cabinet Secretary Sudi Silalahi, who also attended the
\nmeeting, did not identify the \"certain groups\", but vowed that
\nthe authorities would deal with them, so \"the people would know
\nthe players\".<\/p>\n
Purnomo said kerosene scarcity has been reported mostly in
\nJakarta and Lampung.<\/p>\n
\"It happens because of the disparity between prices (of
\nkerosene for households and that for industry). This causes
\nsmuggling, misuse and pengoplosan,\" he said.<\/p>\n
Purnomo said Pertamina could not make additional kerosene
\nsupplies because it would exceed the limits of subsidies
\nstipulated in the state budget.<\/p>\n
He urged the authorities to enforce the law to stop or reduce
\nthe misuse of kerosene, which he said causes some Rp 2 trillion
\nin state losses a year.<\/p>",
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