Jakarta (ANTARA News) - State oil and gas firm Pertamina predicts the government`s policy to limit the use of subsidized fuels as of April 1 will reduce subsidized premium gasoline consumption in Java and Bali in 2012 by 30 percent to 10.4 million kiloliters from 2011.

"In the meantime, premium gasoline consumption outside Java and Bali will reach 11.445 million kiloliters in 2012, up 8 percent from 10.597 million kiloliters in 2011," Pertamina Marketing and Commercial Director Djaelani Sutomo said at a hearing with the House of Representatives (DPR)`s Commission VII here on Wednesday.

In total, premium gasoline consumption this year was predicted to reach 21.9 million kiloliters, he said.

"Unless premium gasoline consumption nationwide is limited it will reach 28.07 million kiloliters," he said.

Meanwhile, subsidized diesel oil and kerosene consumption was projected to reach 13.775 million kiloliters and 1.7 million kiloliters respectively, bringing the overall subsidized fuel consumption this year to 37.342 million kiloliters, he said.

The volume of subsidized diesel oil consumption was based on the assumption that there would be a change in appropriation through a presidential regulation and an effort to minimize the abuse of subsidized diesel oil, he said.

According to the 2012 state budget, the quota of subsidized fuels for this year has been set at 37.5 million kiloliters. The government plans to limit the use of subsidized premium gasoline consumption starting April 1, 2012.

The program will first target Jakarta and environs and later other parts of Java and Bali until the end of 2012. (*)

Editor: Kunto Wibisono
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