Sat, 27 Aug 2005

'Fight fuel smuggling and hoarding'

The steady increase in fuel prices has prompted some experts to call for the scrapping of the fuel subsidy. The Jakarta Post interviewed a number of residents to obtain their views on the debate over the merits of the subsidy.

Tiara Aryanto, 28, is an IT consultant at a bank. She lives in Central Jakarta:

I agree with cutting the fuel subsidy because citizens should be able to be self-supporting.

But this option can only be applied under one condition: The government must be able to fight fuel smuggling and fuel hoarding.

Newspapers reported that the authorities had captured people involved in fuel theft. Unfortunately, they were only small groups whereas the big mafia are still out there.

I think that state oil and gas company Pertamina should be able to put its own house in order first. Don't let the big mafia be if Pertamina knows who they are.

Speaking about people in the low-income groups, I'm sure that the government is smart enough to come up with bright ideas to help them. For example, if the fund from the Subdistrict Community Empowerment Program is well-managed, I think people in the lower-income bracket can fulfill their needs.

Alia An-Nadiva, 23, is a reporter with Nyata weekly in Kebayoran Lama. She lives in Salemba, Central Jakarta:

I'll give my support if the government no longer subsidizes fuel, which is too cheap compared with other countries.

I just think that the government is not doing the right thing by spoiling the rich people with cheap fuel and by opening the opportunity for fuel smuggling.

However, the government must make the people understand why it has to cut the fuel subsidy. I also think that the government must do it gradually, if we don't want to trigger mass protests.

Maybe they can start with reducing the amount of money allocated for the fuel subsidy, like they did in March, so people won't be shocked.

It would be better if the Government also prepared some countermeasures that can be taken if the cut in the subsidy sparked upheaval.

-- The Jakarta Post