Jakarta (ANTARA News) - The House of Representatives (DPR) agreed to meet the government`s demand to increase the quota of subsidized fuels for this year by 1.23 million kiloliters here on Monday.

The agreement was reached at a meeting between energy minister Jero Wacik and the DPR`s Energy Commission VII led by Commission Deputy Chairman Effendi Simbolon from the opposition Indonesia Democratic Party Struggle.

In the meeting the commission asked the government to implement an on-line monitoring and control system (SPM) on PT Pertamina filling stations.

Commission chairman Sutan Bhatoegana from the ruling Democrat Party said unless the agreement was given confusion could occur.

The government predicted the subsidized fuel quota set at 44.04 million kiloliters in the 2012 revised budget would be met on December 11.

The additional supply consists of 0.5 million kiloliter regular premium gasoline and 0.73 million kiloliter diesel oil.

With the addition supply total fuel consumption until the end of 2012 would reach 45.27 million kiloliters consisting of 28.23 million premium, kerosene 1.2 million and 15.73 million diesel fuel.

The director of marketing and commerce of the state-owned oil and gas company PT Pertamina, Hanung Budya, said the SPM had been implemented effectively in a trial at filling stations in Central and South Kalimantan provinces so far.

"If the cost is approved I would announce the winning bidders for the system procurement in January 2013," he said adding Pertamina plans to implement the system in Jakarta and its satellite towns of Bogor, Depok, Tangerang and Bekasi.

"We hope the system could be fully implemented at filling stations across the country next year," he said.

He said the system could save up to 1.5 million kiloliters and so if the system could save Rp5,000 per liter total saving from it could reach Rp7.5 trillion.

"The cost of fuel control is estimated at Rp20 perliter or Rp800 billion for the total quota of 40 million kiloliters," he said.

However if the cost for the system procurement is not approved procurement would use funds from dividend reduction if agreed by the minister and stakeholders, he said.

(K007)

Editor: Suryanto
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