Fuel prices for industry up 12%

Fuel prices for industry up 12%

JAKARTA (JP) State oil and gas company Pertamina announced on
Wednesday an average of 12 percent increase in fuel prices for
industrial users in June.

Pertamina said in a statement that the price of automotive
diesel oil for industrial users would be increased by 11 percent
to Rp 1,285 (about 11.5 U.S. cents) per liter, industrial diesel
oil by 12 percent to Rp 1,250, bunker oil by 14 percent to Rp 945
per liter, and kerosene by 9 percent to Rp 1,275 per liter.

The industrial users will also be required to pay a handling
fee surcharge of 5 percent.

Pertamina said the new prices, which are half the average
international prices for May, would take effect on June 1.

In April, Pertamina began to charge industrial users 50
percent of international prices as part of the government's
program to reduce fuel subsidies. Foreign oil, gas mining and
shipping companies are required to buy fuel at international
prices.

The prices are adjusted monthly based on the previous month's
average Mild Oil Platts Singapore (MOPS) price indicator.

Pertamina said prices of the fuel sold at gas stations would
remain at Rp 350 per liter of kerosene, Rp 600 for automotive
diesel oil, Rp 550 for industrial diesel oil and Rp 400 for
bunker oil.

The price of premium fuel sold to both industrial users and
the public through gas stations will remain the same at Rp 1,150
per liter.(hen)