DPR Members Hope Revision Of Presidential Regulation 191/2014 Can Improve Distribution Of Subsidized Fuel

Illustration (Photo: Doc. Antara)

JAKARTA - Member of Commission VII DPR RI Rofik Hananto said the government's plan to revise Presidential Regulation No. 191 of 2014 could improve the distribution of subsidized fuel oil (BBM).

Rofik Hananto asked that the revision of Perpres 191/2014 should be able to improve the distribution of assigned fuels such as Pertalite and subsidized diesel.

"I don't know the exact contents of the revision, but my imagination is that the revision of the Perpres should be able to improve the distribution of fuel. Especially for assignments like Pertalite, it must be more targeted because of its limited volume. Likewise, subsidized diesel fuel," he said.

He stated that Pertalite and diesel are Types of Special Assignment Fuel (JBKP), where the distribution is regulated and supervised by BPH Migas.

"Especially for Pertalite stock, currently there are many gas stations that often run out of stock, this is due to a shift in the use of fuel from Pertamax to Pertalite. Because gas stations often run out of Pertalite stock, when stock is available, there is a long line of vehicles, both 2 wheels and 4 wheels. ," he said.

In addition, he said, the panic buying phenomenon was also considered to be one of the factors due to Pertamina's policy which would require the purchase of Pertalite with the MyPertamina application as of August 1, 2022 for four-wheeled vehicles.

"For the current diesel stock in our electoral districts, this is because previously there was an additional subsidy allocation for diesel fuel," he explained.

He said on the production side, if you look at the movement of world crude oil prices, especially Brent, which is the reference for fuel procurement costs, the trend is indeed increasing. Since February 24, 2022 when Russia invaded Ukraine, prices have continued to be at new higher levels.

"There was a brief spike at the start of the war and it fluctuated up and down for several months, but in general it remains entrenched at a higher level than before the Russo-Ukrainian war," he said.

The government has ensured to be able to maintain the supply of subsidized fuel and assignments, namely diesel and Pertalite so that they can be distributed on target to prevent the energy subsidy budget from soaring.

"So far, we have always guaranteed the availability of fuel, only this fuel must be right, right on target. Indeed, the purpose of this subsidy is to be able to provide energy, especially this fuel to people with low purchasing power," said Minister of Energy and Mineral Resources Arifin Tasrif when met on the sidelines of the National Capacity Forum ( Kapnas) II 2022 in Jakarta, Wednesday, July 27.

The distribution of fuel that is right on target itself is done by limiting the purchase of diesel and Pertalite.

In addition to maintaining supply by limiting purchases, the government will also implement the rules in the revised Presidential Regulation No. 191 of 2014 concerning the Supply, Distribution and Retail Selling Price of Oil Fuel, which will be issued next August.