Mon, 24 Apr 2000

Un-leaded fuel product hiked

BANDUNG (JP): Greater environmental awareness and continued anti-pollution campaigns have prompted an increasing demand for unleaded fuel which already exceeds the current production level of state-owned gas and oil company Pertamina.

Company officials are so hopeful of the continuing trend that they anticipate an end in the demand of premium leaded fuel by 2003.

Speaking at a seminar on ozone here on Saturday, organized by the National Institute of Technology, Zainal Abidin Thamrin, who is in charge of PT Pertamina's product control, said that this year alone demand for unleaded fuel is expected to reach 7.7 million kiloliters while only 6.6 million kiloliters of Ron 92 unleaded gasoline is scheduled to be produced.

Zainal said due to increasing trend in demand, in the future they will produce Ron 88 Premium Unleaded to replace the current premium leaded fuel.

To replace Premix, Pertamina plans to produce Ron 95 Super Unleaded which has a higher octane level.

"We hope that eventually in 2003 demand for premium (leaded) gasoline will be at zero," he explained.

"It will be replaced by unleaded gasoline Ron 88 Premium Unleaded of which we will produce 5.3 million kiloliters," he said estimating that the total amount of unleaded fuel produced will be around 11.2 million.

Zainal revealed that preparations were already being made for Premium Unleaded to be produced in all Pertamina refineries across the country while Super Unleaded will be produced in the Balongan refinery.

According to Zainal, estimates indicate that between 1999 and 2004 there will be an oversupply for Premium Unleaded, while on the other hand Pertamina's production of Super Unleaded can only supply about 73 percent of demand.

As a short term solution, Pertamina is calling on consumers to use Premium Unleaded to satisfy the demand for the higher octane unleaded fuel.

"However as of 2004 and onwards such a substitution method will not meet the total (unleaded) gasoline demand," Zainal remarked pointing out that Pertamina must increase the output of its' refineries along with imports.

"We hope with the sale of the Ron 88 and Ron 95 unleaded gasoline, the Blue Sky (environmental) program will be fruitful as the combustion in the car's engine is cleaner and discharges less harmful gases," said Zainal.(25/sur)