Fuel Oil Supply Safe Ahead Of Price Hikes

Jakarta, June 10 (Antara) - The Director General of Oil and Gas at the Energy and Mineral Resource Ministry, Edy Hermantoro, has ensured that the fuel oil supply will remain safe ahead of fuel price hikes in the near future. "Fuel oil supply is more than sufficient ahead of its price hikes," Hermantoro said here on Monday. The government has planned to raise the premium fuel price from Rp4,500 per liter to Rp6,500 per liter, and diesel oil from Rp4,500 to Rp5,500 per liter. According to Hermantoro, fuel oil allocation which previously set at 46.01 million kiloliter in the 2013 State Budget has been increased to 48 million kiloliter in the revised 2013 State Budget. He said the additional fuel oil quota had been calculated in accordance with the real condition of its distribution and the economic growth rate that will remain high in the future. "The allocation of 48 million kiloliter is based on the progress of economic growth rate, in addition to the law on oil and gas that requires the government to ensure the fuel oil supply for the people," Mermantoro said. But he added that the government through the Downstream Regulatory Agency for Oil and Gas (BPH Migas) has also anticipated a possible stockpiling ahead of fuel oil price hikes. "Therefore we call on the people to remain calm and avoid buying fuel oil in excessive amount," he said. Meanwhile, state oil company PT Pertamina senior vice president for fuel marketing and distribution, Suhartoko, also said that fuel oil supply would remain safe. He said the additional quota of fuel oil from 46 million kiloliter to 48 was intended to make its distribution normal ahead of price increase. "We will tightly supervise the distribution in order order to prevent the people from buying the fuel oil in excessive amount beyond their need," he said.