Coordinating Minister for Economic Affairs Airlangga Hartarto said there was no plan to restrict the purchase of subsidized fuel oil (BBM) because it was still under government discussion.
Airlangga said the discussion was only related to reducing sulfur levels in fuel to encourage better air quality in Indonesia.
"There are no restrictions, what was discussed yesterday was the decrease in sulfur levels in fuel, of course we have to see the air of Jakarta, the water quality is worrying for health. Of course these steps will be prepared by the government," he said.
Regarding the plan to limit the purchase of subsidized fuel, said Airlangga, the government is still in the discussion stage, so there are no details of its implementation.
The discussion, he continued, included the revision of Presidential Regulation (Perpres) Number 191 of 2014 concerning the Provision, Distribution and Retail Selling Price of Oil Fuel.
"There is no plan for us to go up, we just have to be clear about what Pertalite subsidies, while Pertamax is adjusted to market conditions," he said.
Previously, Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan revealed that the government limited the use of fuel oil subsidies (BBM) on August 17, 2024.
That way, the amount of fuel subsidy distribution is more targeted.
Giving inappropriate subsidies (targets). That's now Pertamina has prepared. We hope that on August 17, we can start, where people who are not entitled to subsidies will be able to reduce them. We will count there," said Luhut through his official Instagram @luhut.panjaitan quoted Wednesday, July 10.
In addition to tightening subsidized recipients, Luhut said, the government plans to encourage alternative replacements for gasoline through bioethenol.
He considered that this step could reduce fuel imports and reduce air pollution.
Moreover, he continued, the sulfur level owned by this alternative fuel is also relatively low.
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By reducing sulfur levels, he said, the number of ISPA sufferers could be suppressed and BPJS payments for the disease could save the state budget.
"We are now planning to encourage bioethenol to enter to replace gasoline so that this air pollution can also be reduced quickly because sulfur is almost 500 ppm, right," he said.
Luhut added that this plan is being worked on together with PT Pertamina (Persero).
"Well, this is now being processed by Pertamina. If all this goes well, from there I think we can save more," concluded Luhut.
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