Senin, 01 Desember 2008

Govt: no price cut for diesel fuel, kerosene

The Jakarta Post , Jakarta
The government said Sunday it would not cut the prices of subsidized diesel oil and kerosene, currently at Rp 5,500 (46 US cents) and Rp 2,500 a liter, respectively, despite cuts in gasoline prices starting Monday.

Even though the price of subsidized gasoline will be lowered to Rp 5,500 from Rp 6,000 a liter from Monday, prices of diesel fuel and kerosene will remain the same, head of the Legal Affairs and Public Relations Bureau at the Energy and Mineral Resources Ministry Sutisna Prawira said in a press release Sunday.

The price of subsidized gasoline is being cut because of a slump in global crude oil prices to below US$60 a barrel in the past month. The price hit $147 a barrel in mid-July.

But the price cut may not last long, as the energy and mineral resources minister will continue to monitor and evaluate changes in global prices.

Critics have urged the government to lower the price of subsidized diesel fuel by Rp 500 a liter to help boost the economy. (dre)

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