Tue, 20 May 2008

From: The Jakarta Post

By The Jakarta Post , Jakarta
PT Pertamina may have trouble limiting fuel transactions to stop panic buying in response to planned fuel price increases because of a lack of regulations for implementing the policy.

Several gas stations in Jakarta have yet to limit purchases because of confusion over how to put the policy in place.

Omar, an attendant at a gas station in Cilangkap, East Jakarta, said the management of the station told him they would implement the policy starting Monday, but there has been no follow-up.

"The management still hasn't given us orders to limit purchases," he told The Jakarta Post on Sunday.

Gas stations on Jl. Tentara Pelajar and Jl. TB Simatupang, both in South Jakarta, had also yet to apply the policy on Sunday.

The state oil and gas company announced its new policy last Friday, distributing letters to gas stations in Jakarta ordering that private cars be limited to Rp 75,000 (US$8.16) in gasoline purchases, public transportation vehicles Rp 100,000 and motorcycles Rp 15,000.

Similar limitations were also ordered for the purchase of diesel fuel at stations in Jakarta and West Java. The limits were to be put in place upon receipt of the letter from Pertamina.

Omar doubted the policy would stop motorists from finding ways to purchase more fuel.

"Motorists could go to another gas station and fill their tanks there. They could switch drivers," he told The Jakarta Post on Sunday.

Uli Putri, an English teacher who spends about Rp 100,000 on gasoline every four days, said the government needed to formulate accompanying regulations to stop motorists from cheating on the policy.

"It would be a good idea if we could have a logbook to record our fuel purchases and help monitor how efficiently we use our vehicles," she said.

Panic buying of fuel by residents around the country has pushed up fuel consumption by an average of 15 percent over the last two weeks. In East Java, consumption jumped 40 percent, Sumatra by 15 percent and in Jakarta by 5 to 15 percent.

Panic buying is continuing as motorists prepare for planned fuel price increases the government says could come in early June.

In Bandarlampung, Lampung province, gasoline reached Rp 9,000 per liter with stocks getting scarce.

Sri, a gasoline retailer in Way Halim, told Antara news agency she got her supply from gas stations with four motorcycles at her house.

"I fill the four bikes with gasoline at the stations and I unload the gas from the bike tanks at home," she said Sunday.

Police have recorded cases of hoarding at more than 48 locations in Jakarta and Central Java in the last three weeks ago.

Secretary-general of the Indonesian Committee for Monitoring Energy Savings, Sofyano Zakaria, is confident Pertamina's policy of limiting fuel purchases will be successful in controlling consumption.

"It's a good breakthrough ... Pertamina must be persistent with its efforts so that this policy meets expectations," he said as quoted by Antara. (lva)