Some fuel prices to rise this month, most to remain stable

Some fuel prices to rise this month, most to remain stable

The Jakarta Post, Jakarta

Fuel prices for the oil, gas and mining industries have been
increased by between 1 percent and 3 percent for this month, but
prices for the transportation sector will remain unchanged.

State oil and gas company PT Pertamina said in a statement on
Wednesday that it had decided to raise fuel prices for the oil,
gas and mining industries following an increase of between 3.5
percent and 7.4 percent in fuel prices in Singapore.

Premium gasoline for industry will now cost Rp 2,100 per
liter, up from Rp 2,080 in December 2003, while kerosene is now
Rp 2,200 per liter, up from Rp 2,160. Automotive diesel oil is
now Rp 2,100 per liter, up from Rp 2,050, while industrial diesel
oil has risen to Rp 2,050 from Rp 1,990.

But, fuel oil for the three industries remains unchanged at Rp
1.560 per liter because of weak demand for fuel oil on the
international market due to year-end holiday.

The government imposes international prices for fuel bought by
oil, gas and mining companies, as well as those which support
them and process their products, on the grounds that their
products are for export. For public transportation and other
industries, however, the government still provides subsidies.

For the transportation sector, the price of Premium gasoline
in the gas stations is 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 and industrial diesel oil
will stay at Rp 1,650 per liter respectively, and fuel oil at Rp
1,560 per liter.

Kerosene for household and small industry use will stay at Rp
700 per liter.

Prices for Pertamina's high quality gasoline brands Pertamax
and Pertamax Plus remain stable at Rp 2,300 per liter and Rp
2,600 per liter respectively.

The state company adjusts fuel prices every month for the
domestic market by taking into account the movement of oil prices
on the international market as part of the effort to reduce fuel
subsidies.