The longest is seven days."
Jakarta (ANTARA News) - Energy observer from ReforMiner Institute Komaidi Notonegoro asked the government to immediately raise the prices of subsidized premium gasoline and diesel.

"I don`t think the government needs too many days to take care of the administration, just immediately raise it," he said here on Wednesday.

The Parliament`s plenary meeting held last Monday approved the 2013 revised draft budget in which there will be financial compensation for the poor as a result of rising fuel prices.

After the parliament`s approval, the government is still waiting for the 2013 revised state budget legal administration within the next few days before announcing the increase.

"The longest is seven days," Komaidi said quoting the Energy and Mineral Resources Minister Jero Wacik earlier on Tuesday.

"The fuel price hike supposedly has been done in the first half of the meeting yesterday," he said.

If the decision is taken before the public holidays of Eid Fitr, school year, and the 2014 political spending year started, then it would certainly produce much greater impact on inflation, he added.

"So, it`s hard to understand the delays," he said.

Komaidi also suggested that the gasoline and diesel prices be increased to Rp6.500 per liter.

"Because Diesel oil is prone to be smuggled," he said.

According to Komaidi the subsidized fuel users are entirely for transportation activities, while about 50-55 percent of solar oil is distributed for industry purpose.

"There is a large potential diesel oil to be smuggled for industry," he said.

Government plans to raise the current subsidized fuel prices from Rp4.500 to 6,500 per liter and diesel from Rp4.500 to Rp5.500 per liter.

With the economic prices of gasoline and diesel are relatively similar, the figure shows the use of diesel fuel is larger.
(Uu.A050/F001)

Editor: Priyambodo RH
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