Pertamina Guarantees Kerosene Shortage Settled in Three Days
Friday, 01 December, 2006 | 12:07 WIB

TEMPO Interactive, Jakarta: PT Pertamina guarantees that within two or three days there will not be a kerosene shortage any more.

Pertamina spokesperson Toharso said Pertamina has added kerosene supplies for the areas of Jakarta, Bogor, Depok, Tangerang and Bekasi (Greater Jakarta) and West Java (Marketing Unit III) by 1,440 kiloliters (30 percent) to 6,128 kiloliters. “It’s no use talking about queuing. The important thing is, we are distributing a great deal of kerosene to the kerosene centers,” said Toharso yesterday (30/11). “Thirty percent isn't a small amount.”

He explained that the shortage occurred due to a decrease in the kerosene quota. Kerosene supply and demand are not in balance so a shortage occurs.

So far, the subsidized kerosene quota for Marketing Unit III alone reached 3,27 million kiloliters a year. However, in the State Budget 2006, the kerosene quota was reduced from the total 10 million kiloliters to 9.9 kiloliters. This caused the kerosene quota for Greater Jakarta and East Java to become 2.71 kiloliters.
According to Toharso, the government decided to return the quota of these areas to around 3 million kiloliters. However, according to a member of the House Commission for Energy and Mining Tjatur Sapto Edi, despite additional supplies for subsidized kerosene, shortages will certainly occur again,

This is because, according to him, subsidized kerosene is sold in the market at around Rp3,500 per liter price difference with kerosene for industry. “Kerosene sales should have been treated equally with the pattern of direct cash, so that those who acquire subsidized kerosene can be investigated. When there are deviations, they can also be identified soon and the perpetrators, sanctioned,” said Tjatur.

In addition, he said, this subsidized kerosene is very expensive, around Rp35 trillion. So a better monitoring and distribution system are necessary. “No matter how much the quota is increased, there will be shortages if the distribution system is not improved.”

The quota addition, according to Finance Minister Sri Mulyani Indrawati, will not affect the amount of fuel oil subsidy. “But the actualization will later be seen based on the audit,” she said.

Muhamad Fasabeni and Pramono