Gas Shortage Pushes Prices Higher
Monday, 22 December, 2008 | 16:01 WIB

TEMPO Interactive, Jakarta: Retail vendors in Jakarta were in short supply of Liquified Petroleum Gas for household consumers as shortage widens to reach the capital city. Shortage in various part of the country were reported months before the problem emerged in Jakarta.

Sueb a 32-year old gas distributor in Tanah Abang Central Jakarta told Tempo on Monday he had closed his store for two days “we have placed orders but, supply was not available.” Sueb normally distributes up to 50 canisters of gas of 12 kg size and up to 100 canisters of gas of 3 kg size.

Gas prices jumped by Rp 10,000 to Rp 85,000 for a 12 kg canister of gas, and by Rp 4,000 for a 3 kg canister of gas to Rp 19,000.

Vendors in Jl Balikpapan and Jl Kramat in Central Jakarta reported similar conditions.

A consumer told Tempo the shortage have forced him to buy kerosene for Rp 8.500 per liter, over 30 percent higher than the price of a high grade gasoline of Rp 6,500 per liter, which is commonly used by the upper middle class.

Kerosene is the lowest grade of fuel used mainly for cooking by lower income group in parts of the country.

SOFIAN