Unleaded petrol

Unleaded petrol

On Aug. 19, 1995 The Jakarta Post published an article titled
Unleaded gasoline introduced. I must admit that its contents
quite surprised me.

Who is going to buy unleaded petrol at Rp 1000 per liter when
leaded regular and premix cost only Rp 700 and Rp 870
respectively? In most other countries unleaded petrol is priced
below the leaded equivalent, as an incentive for people to buy
unleaded -- cleaner and better for the environment -- petrol.

Eventually, in most countries unleaded petrol will be phased
out completely, or will be very difficult to obtain. If the
authorities want drivers to change to unleaded petrol, then they
should price this product below the leaded equivalent.

The volume of unleaded petrol available on a yearly base for
the Jakarta market -- 50,000 liters -- doesn't make sense either.
This 50,000 liters is going to be distributed by seven petrol
stations, which means roughly 7,000 liters per station per year,
or about 585 liter per station per month! This is enough for
about 15 cars per station per month, at not even 40 liters per
car! Doesn't seem to me a viable business.

I would like to see what comments Pertamina, or PT Elnusa
have.

F. A. VERMAAS

Bogor, West Java