Indonesian Political, Business & Finance News

Kubu Raya Prepares Subsidised Diesel Purchase Dispensation for Water Transport

| Source: ANTARA_ID Translated from Indonesian | Regulation
Kubu Raya Prepares Subsidised Diesel Purchase Dispensation for Water Transport
Image: ANTARA_ID

Unless I take concrete steps soon in my role as the regional head, this will have wide-ranging effects. Its domino effect could spread anywhere,” said Regent Sujiwo after chairing a coordination meeting on diesel shortages at the Kubu Raya Regency Office on Tuesday.

Sujiwo said the dispensation would be issued for micro-entrepreneurs, the agricultural sector, and fishing vessels under seven Gross Tonnes (GT) as a temporary measure while awaiting an official decision from the Downstream Oil and Gas Regulator (BPH Migas).

The swift move follows reports that water transport operations have halted due to difficulties obtaining subsidised diesel and the high price of non-subsidised fuel.

“Striking water transport operators is disastrous because it concerns the wider public interest. Therefore I have asked all stakeholders to be gathered today to find solutions,” he said.

The coordination meeting was attended by the deputy regent, regional secretary, relevant regional devices, the DPRD, Pertamina representatives, and water transport associations.

From the discussion, the local government decided to take a temporary step by issuing a dispensation for subsidised diesel purchases to maintain the continuity of public transport services and economic activity in coastal and inland waters.

He emphasised that the policy is expected to provide a short-term solution so that the distribution of goods, mobility of people, and economic activity dependent on river transport can continue normally despite constraints on subsidised fuel supply.

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