Fuel prices unchanged in September

The Jakarta Post, Jakarta

State oil and gas company Pertamina said on Sunday that fuel prices in September would remain unchanged from those in August.

The prices of premium gasoline at the pumps remains unchanged at Rp 1,810 per liter, while the price of kerosene is still Rp 1,800 per liter.

The price of automotive diesel oil will stay at Rp 1,650 per liter, industrial diesel oil at Rp 1,650 per liter and fuel oil at Rp 1,560 per liter, the company said in a statement.

High quality gasoline brands Pertamax and Pertamax Plus will continue to cost Rp 2,300 per liter and Rp 2,600 per liter respectively.

Every month, the state company adjusts fuel prices for the domestic market to take account of the movement of oil prices on the international market as part of the effort to reduce fuel subsidies.

The government still subsidizes fuel sold to private and industrial consumers, except for foreign oil and gas, mining and shipping companies, which have to purchase fuel at international prices.

In particular, the government pays out a huge subsidy on the kerosene sold to small businesses and households. While big businesses have to buy kerosene at Rp 1,800 per liter, small businesses and households only pay Rp 700 per liter for kerosene sold at Pertamina depots.