Mon, 24 Jan 2005

Cuts to kerosene quota sparks uproar in North Sulawsi province

Jongker Rumthe, The Jakarta Post, Manado, North Sulawesi

Regional governments in North Sulawesi have expressed their concern at the central government's policy of cutting the quota of subsidized kerosene for North Sulawesi province by 10 percent starting Jan. 1.

They also condemned state oil and gas company PT Pertamina, which is responsible for subsidized kerosene distribution nationwide, for being late in informing the public over the quota cut.

The quota has been in effect since Jan. 1, but the company has only just revealed this to the public.

Pertamina's branch and marketing head in Manado, Achmad Noor, explained recently that subsidized kerosene supplies for North Sulawesi, which earlier stood at 419 kiloliters (kl) per day, would be cut to 354 kl per day starting Jan. 1.

"We had to impose the policy due to the surplus supply of kerosene in North Sulawesi," said Noor recently, adding that the supply of unsubsidized kerosene was still normal.

He explained that the kerosene quota was based on the National Development Planning Board's (Bappenas) guidelines that allot 3.75 liters of kerosene per person per month. The province had thus far received 6 liters of kerosene per person per month. The amount will be reduced to 4.5 liters per person per month.

"With a population of 2,333,168 people, the new quota for North Sulawesi will be 127,425 kl annually. The new quota is sufficient to meet people's needs. Moreover, there is still a surplus of 22,238 kl per year. I don't believe there will be uproar over this," said Noor, at a hearing recently headed by Second Assistant of the North Sulawesi administration, Max Raintung, and head of its economics bureau, Abdi Buchary.

However, soon after the meeting, representatives from the regencies and mayoralties immediately protested, saying Pertamina had been slow to inform the public of the new policy.

An official at the Manado municipality, A.S. Dasir, expressed his surprise at the reduction in kerosene supplies because Manado and its surrounding areas have been facing a shortage of the fuel for the past year.

"People have been queuing for kerosene every day, even when supplies weren't cut, let alone when they're cut. The situation will surely worsen," said Dasir.

Kerosene is the main fuel for cooking for the majority of households in North Sulawesi. The fuel is also important for fishermen whose boats are powered by kerosene.

Representatives from the Minahasa and Tomohon regencies refused to accept the new policy, and feared facing their constituents who have been having difficulty getting kerosene.

"Our people will certainly rise up against this policy, because they have been facing kerosene shortages," said a senior official from Minahasa regental administration.

Chairman of North Sulawesi's Indonesian Fishermen's Association, Ferry Kokali, who also attended the meeting, reminded the government to be prepared for an increase in the number of poor people if the thousands of fishermen in North Sulawesi were unable to buy subsidized kerosene.

"Protection of common people's rights is fading. The policy will cause small-scale enterprises such as the fishing industry to go out of business, because, besides the scarcity of fuel, prices will gradually rise," said Kokali.

Chairman of Commission B of the North Sulawesi legislative council, Djitro Tamengge, proposed that a team consisting of officials from the municipality and the legislature be formed to lobby the House and central government not to reduce the province's kerosene quota.