With stability in fuel prices, Pertamina was also optimistic that the prices of commodities would be stable in the face of the post-fasting Eid el-Fitr or Lebaran festivities this year.
Jakarta (ANTARA News) - State-owned oil and gas company Pertamina has hoped that the prices of Premium gasoline and diesel oil would remain stable in the coming three months.

With stability in fuel prices, Pertamina was also optimistic that the prices of commodities would be stable in the face of the post-fasting Eid el-Fitr or Lebaran festivities this year.

"If the prices of fuels are slashed in the April-June period, we hope the government, as the regulator, would lower it by some Rp200 to Rp400 per liter for Premium and diesel oil," Pertamina Marketing and Commercial Director Ahmad Bambang noted during a discussion on fuel oil prices and economic growth here on Tuesday.

Bambang remarked that the global oil prices, in the coming three months, would hover between US$40 and US$50 per barrel. The next adjustment in oil prices in July will be influenced by the fuel prices in the April-June period.

In July, this year, the people will observe the post-fasting month of Eid el-Fitr or the Lebaran festivities and the school holidays. Thus, while adjusting the oil prices, the government could take into account the peoples social conditions and not merely the economic aspects.

"Stability in the prices of Premium and diesel oil is very important. Hence, if the government lowers their prices in April, they should not be reduced drastically. Thus, the prices will not necessarily be raised in July in an effort to reduce the burden on the people during the Lebaran and school holidays," he explained.

Bambang affirmed that while deciding the fuel prices, Indonesia should not essentially refer to the prices of fuels in other countries as it already had its own formula for setting domestic prices.

"The prices of fuels in Indonesia should not be compared with those in Malaysia, which are cheaper. The oil prices in Singapore, which are higher, could also be taken into consideration. Every country has its own approach for setting the prices," he pointed out.

Expectations from the government to maintain the stability in fuel oil prices was also voiced by Dito Ganinduto, a member of Commission VII on energy affairs of the House of Representatives.

He said that although the crude oil prices had dropped significantly in the global market, the government should not lower the prices of fuel oil in accordance with this trend.

Ganinduto, who belongs to the Golkar Party faction, stated that the current oil prices in the world market hover around US$40 per barrel. The price is highly unreasonable as it is far below market expectations. Therefore, the government should evaluate all possibilities, including the likelihood of a hike in the global oil prices.

"What is important is that the prices set by the government, particularly of Premium and diesel oil, should remain within the reach of consumers," he emphasized.

The government had last adjusted the fuel prices in January, which are effective until the end of this month. The prices of subsidized Premium outside the Java-Madura-Bali areas were set at Rp6,950 and in the Java-Madura-Bali areas at Rp7,050. The price of subsidized diesel oil was set at Rp5,650 per liter.(*)

Editor: Heru Purwanto
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