Pertamina lainches operation to restore kerosene supply

The Jakarta Post, Jakarta

Residents of South Cileungsi village, Cileungsi district, Bogor regency, enthusiastically bought kerosene supplied by state oil and gas company Pertamina on Saturday amid reports that a kerosene shortage had hit many parts of the country.

The fuel was sold in the village for Rp 510 (4.9 U.S. cents) per liter.

Pertamina officials said the company was doing "market operations" simultaneously in the many parts of the country hit by a shortage.

The market operation in the village was witnessed by, among others, Minister of Energy and Mineral Resources Purnomo Yusgiantoro and Director General of Oil and Gas Rachmat Sudibyo.

A kerosene shortage has hit many parts of the country as many people are hoarding the commodity in anticipation of the fuel price increases the government plans for this month.

Slamet Singgih, head of the Anti-Fuel Smuggling Coordinating Team, who was also present during the market operation in Cileungsi, said his team found Friday a total of 89,000 liters of kerosene and 15,000 liters of diesel oil worth Rp 49 million hoarded by locals in Cileungsi and surrounding areas.

Local police chief first inspector H. Santoso said the police were still searching for the persons suspected of hoarding the fuel.

Under the new oil and gas law, fuel hoarding is considered illegal and is punishable by three years in prison and a maximum Rp 30 billion fine.