Boss Of Pupuk Indonesia Curhat Can't Sleep Because HGBT Is Still Hanging

President Director of PT Pupuk Indonesia (Persero) Rahmad Pribadi. (Photo: Doc. ANTARA)

JAKARTA - President Director of PT Pupuk Indonesia (Persero) Rahmad Pribadi admitted that he could not sleep because he thought about the policy of cheap gas, aka the Specific Natural Gas Price (HGBT) which will end in December 2024.

"At the beginning of the year I couldn't sleep. In the middle of the year I was a bit able to sleep because there was a flat (limited meeting) which said HGBT was followed up," he said in the Leaders Forum's Detik, Tuesday, September 17.

However, he also admitted that he could not breathe a sigh of relief because this cheap gas price policy did not yet have written rules.

"Now it is also a bit awakened every night because it turns out that it has not broken well so that the sustainability of gas source supply at the price set by the government is the not yet known fertilizer sector," he continued.

For information, the government set a low gas price of 6 US dollars per MMBTU for seven industrial groups, including the fertilizer industry, petrochemicals, olechemicals, steel, ceramics, glass glasses and rubber gloves.

As an important component in fertilizer production, Rahmad said, if this policy is not continued, it will have an impact on the selling price of fertilizer produced by Pupuk Indonesia.

He gave an example, based on a study conducted by Pupuk Indonesia, if the fertilizer price increases by Rp1,000, it will reduce urea fertilizer consumption by 13 percent.

"If the price goes up Rp. 1000, it goes down by 13 percent, how much is the impact on agriculture? Half a ton per hectare," he continued.

Thus, he continued, Indonesia must import 2 million tons of rice if the price of fertilizer increases by Rp1,000.

"For this reason, the continuation of important policies," he said.