Minor rallies mark fuel price hike

Minor rallies mark fuel price hike

JAKARTA (JP): The first day of the fuel price hike passed
without major public upheaval on Sunday, despite a few protests
in Jakarta and Bandung, and rumors of bigger demonstrations in
other towns.

In Jakarta, about 1,000 people from several labor unions
protested in front of the Presidential Palace demanding that the
government cancel the fuel price increase.

Protesters came from, among other groups, the National Front
for Indonesian Workers Struggle (FNPBI), the Reformed All
Indonesian Workers Union (SPSI Reformasi), the Indonesian
Prosperous Labors Union (SBSI), and the Confederation of
Indonesian Labor Unions (Gaspermindo).

Jakarta Police declared on Saturday an Alert One status for
the capital. As many as 18,000 police personnel were placed on
alert until Tuesday to anticipate possible disturbances.

No problems occurred in the South Sulawesi capital of Makassar
on Sunday after eighteen students of the Makassar State
University were arrested on Saturday for hijacking three gasoline
tank trucks loaded with fuel.

In Medan, North Sumatra, students' plans to hold a huge
demonstration on Sunday turned out to be an empty threat.

But on Saturday, students there did set a gasoline station on
fire. No one was arrested in the incident and no fatalities were
reported.

Semarang was also quiet with no lines of motorists waiting to
buy gasoline.

In Bandung dozens of students grouped in New Alliance for
Democracy protested the increase in fuel price by an average of
12 percent. The non-violent action was filled with orations,
calling for people to be aware of the government's mistake.

In Yogyakarta, everything was also under control.

As approved by the House of Representatives in February, the
price of premium gasoline is now Rp 1,150 or Rp 150 higher than
before. Diesel fuel now costs Rp 600 per liter, while the old
price was Rp 550; kerosene is now Rp 350, or Rp 70 higher than
before; while bunker oil rose to Rp 400 from Rp 350.

Ramli Djaffar, spokesman for the Jakarta office of the state
oil and gas company Pertamina, told The Jakarta Post the demand
for gasoline, especially Premium gasoline and automotive diesel
fuel in Jakarta had increased in the past week.

"Premium gasoline demand increased 29 percent, while diesel
fuel increased 43 percent. But we anticipated by preparing
gasoline stocks for the next 23 days and kerosene stocks for the
next 25 days," Ramli said.

Pertamina has prepared the monthly stocks for the capital of
7,600 kiloliters of gasoline, consisting of premium gasoline,
automotive diesel fuel, kerosene and bunker oil.

"If there is any delay in the distribution, it is not because
we are out of supplies but simply because we have only one
station in Plumpang, North Jakarta to distribute fuel for the
whole city," Ramli said.

The protests

The Jakarta protesters threatened on Sunday to stage massive
and continuing rallies if the government refused to cancel the
price increases.

"It's impossible for us to make the government call off the
policy through discussions. That's why we have to go to the
streets," FNPBI coordinator Dita Indah Sari said in her oration.

"If the government still refuses to cancel the new policy, we
will continue to stage rallies tomorrow, the day after tomorrow,
and so on," Dita said.

In Makassar, students and public transport drivers threatened
to stage huge protests on Monday.

"The students want the government to delay the policy, while
the drivers want the local administration to allow them to
increase fares," a student, who wanted anonymity, said on
Saturday.

Makassar students have shown persistence by staging at three
sequential rallies. The provincial legislative council also
expressed disagreement with the fuel price hikes.

Bandung students vowed to continue protesting should the
government fail to delay or cancel the policy.

Jakarta demonstrators also demanded wages to be raised by 100
percent saying that it had become more and more difficult for
laborers to buy daily needs with their current minimum wage of Rp
344,500 per month in the Jakarta area.

Minister of Manpower and Transmigration Alhilal Hamdi who met
with the protesters in front of the presidential palace said that
the fuel hike was appropriate.

"Seventy percent of the government's fuel subsidy went to
those who do not need it, such as those who own expensive cars,
while only 30 percent of the subsidy went to the poor," Alhilal
said.

Alhilal said that postponing the policy, initially slated for
April, cost the government Rp 41.3 trillion instead of Rp 22.4
trillion to subsidize the fuel.

"We will continue to protest. We will stage a massive rally
all over the country on October 10," labor activist and SBSI
chairman Mochtar Pakpahan said.

The rally ended peacefully after Alhilal left the site.

Meanwhile, House of Representatives Speaker Akbar Tandjung
urged the government to actively report the findings of the
government's price control team in a bid to avoid the fuel price
hikes affecting other goods and services.

"The government must actively talk to businessmen and people.
We also urged them not to take advantage of the situation by
raising other prices such as for staples," he said.

"We (the House) are informed by the government that the
allowed price increase is no more than three percent," Akbar said
after commemorating the National Tragedy due to the Betrayal of
Pancasila on Sunday morning. (team)