Complaints abound over increased fuel prices

Complaints abound over increased fuel prices

Rendi A. Witular, The Jakarta Post, Jakarta

The sharp increases in fuel prices on Thursday boosted the
prices of several staples, causing an outcry among the people
here.

Niniek, a housewife living in Pondok Kelapa, East Jakarta,
complained in remorseful tone to The Jakarta Post that the price
hikes has created dreadful conditions as she went shopping at the
Klender traditional market in East Jakarta.

"A bundle of spinach costs Rp 500, Rp 200 higher than the
previous price; while mujair fish costs Rp 4,000 per half-kilo
from Rp 3,000," she lamented with a sigh.

Since last week, due to the planned hike in fuel prices, a
liter of rice price has jumped to Rp 3,300 (US$0.32) from its
previous price of Rp 2,100, she added.

Niniek was similarly displeased with the price of kerosene,
which was much higher than the new price imposed by the
government at Rp 600 per liter.

She must now pay Rp 1.500 for a liter of kerosene.

In Central Jakarta, at the Palmerah traditional market, the
prices of several vegetables also were marked up.

Vendor Ibu Karto said tomatoes were sold at Rp 3,000 per
kilogram, up from the usual price of Rp 2,500, while prices for
pungent chili were raised from Rp 6,000 to Rp 8,000.

She said that she had no idea about the price increase, adding
that her distributor at the wholesale market of Jatinegara, East
Jakarta, had only raised the price without explanation.

Lenny, a canteen owner in Mega Kuningan, South Jakarta, said
that she had to increase the meal price up to 50 percent, due to
the sharp rise in ingredients and staple prices.

"I charge Rp 1,500 for a plate of steamed rice from its usual
price of Rp 1,000, while a piece of fried chicken goes for Rp
4,500, up from Rp 4,000," she said.

Gorengan (fried snack) vendors in Blok M, South Jakarta, and
on Jl. Gajah Mada, Central Jakarta, all complained about the
kerosene price hike.

"The announcements have been incorrect -- you'll never get a
liter of kerosene at a retail price of Rp 600," said Saimah, a
vendor in the Blok M area.

Saimah said she has had to buy kerosene at Rp 1,200 per liter.
Before the new price hike, it was sold at between Rp 800 and
1,000 per litter.

Meanwhile Indonesian Consumer Foundation (YLKI) Chairwoman
Indah Suksmaningsih said the government should have clarified the
subsidy allocations before imposing the new prices.

When it increased fuel prices in June 2001, the government had
announced plans to re-allocate the freed up Rp 800 billion
subsidy to assist the poor.

"Has that compensation plan hit the target? How did the
delivery and control mechanisms of the government facilitate the
flow? It's a mystery -- even now we still don't have any idea
where that money was spent," she said.

Indah added that the money saved by the price hikes and
earmarked for the needy has no hope of being properly disbursed,
thanks to rampant corruption in the state-owned oil company,
Pertamina.

She appealed to the public to reject the increase, saying it
has only further sown the seeds of the shady corruption practices
among both government and Pertamina officials.

Several hours before the official announcement of the fuel
increases on Wednesday at 11 p.m., no significantly long queues
of vehicles could be spotted at gas stations anywhere in Jakarta.

Some five to seven police officers were seen deployed to guard
every gas station in the city in the event of disturbances.