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Controversial fuel funds audited 'must be audited'

| Source: JP

Controversial fuel funds audited 'must be audited'

The Jakarta Post, Jakarta

House of Representatives speaker Agung Laksono demanded an audit
into funds "illegally" collected by the government from people,
who purchased subsidized kerosene.

Addressing the House's last plenary session on Friday before
going into a month-long recess, Agung also said that the recently
introduced surcharge of Rp 50 for every liter of kerosene sold to
the public must be revoked because it was a violation of the law
and the funds were not included as revenue in the 2006 state
budget.

"The policy must be revoked and all funds that have been
collected so far must be audited. All parties that were involved
in the illegal move must be held accountable for the use of the
funds," he said.

The government, based on a circular issued by the home affairs
ministry introduced the surcharge as a funding source to finance
the supervision of kerosene distribution, and to ensure that the
subsidized fuel was only sold to households and not industry,
which has to pay the full market price. The surcharge was
applied two days after the government raised fuel prices on Oct.
1.

But the House has said the collection was not included in the
2006 budget deliberations, thus raising questions of validity of
the policy and the possible abuse of the funds.

With monthly kerosene consumption of around 900,000
kiloliters, the home affairs ministry is estimated to have
collected in the neighborhood of Rp 90 billion (US$9.2 million)
so far.

However, Minister of Home Affairs M. Ma'ruf claimed that the
surcharge had been revoked.

The Indonesian Democratic Party of Struggle, a self-styled
government opposition faction, filed on Thursday a report with
the Corruption Eradication Commission to look into the matter.

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