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Govt urges DPR to accelerate discussion on budget revision JAKARTA, - The government has urged the House of Representatives (DPR) to accelerate the discussion of the draft revision of the 2013 state budget so that fuel price hike could be immediately implemented.

"I wish you would help in the matter so that decision could be made immediately as a lot of people have already asked for the government to immediately raise the price of subsidized fuel oils," Energy and Mineral Resources Minister Jero Wacik said in a meeting with the House Commission VII here on Tuesday.

He said the fuel price hike is expected to increase inflation rate that would affect all community members especially the poor. In view of that, he said before the fuel price is raised compensation in the form of temporary cash handout must be regulated in the revised budget, he said.

"We wish there will be additional protection for the economically-weak such as in the form of scholarship, cash handout and rice aid," he said.

The volume of subsidized fuel oils that the government has proposed in the draft budget reaches 48 million kiloliters consisting of 30.77 million kiloliters of subsidized gasoline and bio-ethanol, 1.2 million kiloliters of kerosene, 16.03 million kiloliters of diesel and bio-diesel oils.

It meanwhile has proposed 4.39 million tons for 3-kg container liquefied petroleum gas. "The subsidy for subsidized bio-diesel is set at Rp3,000 per liter, bio-ethanol Rp3,500 per liter, Rp1.500 per liter for LGV and formula for alpha for the subsidized fuel oils is the same as that in the current budget plus Rp50 per liter," he said.

Oil and gas production is expected to be lower at 840,000 barrels a day and 1.24 million barrels a day from formerly 900,000 barrels a day and 1.36 million barrels a day. This will make oil and gas lifting to drop to 2.08 million barrels a day from 2.26 million barrels a day.

"Lifting of oil and gas is proposed down to 2.08 million barrels a day from 2.26 million barrels a day, he said. With regard to world crude price assumption he said the government has proposed US$108 per barrel for the revised 2013 budget, he said.


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Posted in Politics @ 29 May 2013 00:13 CET by Blog Bot · 'Blog' RSS feed · permalink






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