If The Government Wants To Increase Pertamax Prices, Observer Says, Ideally At IDR 13.000 Per Liter

Illustration. (Photo: Doc. Antara)

JAKARTA - Energy observer Mamit Setiawan reminded the government, in this case, PT Pertamina, not to increase the price of Pertamax fuel oil (BBM), not touching the psychological level of consumers. According to Mamit, the ideal price of this type of fuel is sold at a price level of IDR 13.000.

"In my opinion, don't let the price touch the psychological level of Pertamax users. So in the sense that if it hits the level of IDR 15.000, it is already quite high. So I propose ideally at the level of IDR 12.500 to IDR 13.000," he told VOI, Thursday, March 31.

According to Mamit, if Pertamax increases the price following the economic price which is at the level of IDR 16.000, it will actually make Pertamax consumers switch to subsidized fuel oil, in this case Pertalite. Meanwhile, as a subsidized fuel product, there is a quota set by the government.

"Pertalite has now become a JBKP (Type of Special Assignment Fuel) where a quota has been given. Later it will be troublesome again if it is over quota. So I think the ideal is that we play at IDR 12.000 to IDR 13.000 not up to the economic level of IDR 15.000-IDR 16.000," he said.

Mamit said that although there was still a price difference of IDR 2.000 that had to be borne by Pertamina, at least the increase in the price of Pertamax at the level of IDR 13.000 had reduced Pertamina's burden.

"The price increase of Pertamax really needs to be done. Pertamina has no profit for them to lose, although there is still a difference of IDR 2.000, but at least it has reduced the burden of their losses," he explained.

Pertamax price will increase in early April

Previously reported, Minister of State-Owned Enterprises (BUMN) Erick Thohir signaled that the Pertamax type of fuel oil sold by Pertamina would increase in price in the near future. It is planned that the price increase will occur in early April.

Furthermore, Erick said that the price increase occurred because Pertamax was not a fuel product subsidized by the government. Even so, said Erick, the government has decided to provide subsidies for Pertalite fuel. Thus, the selling price of Pertalite has not changed.

"So if Pertamax goes up, I'm sorry. But the Pertalite subsidy (price) remains the same. Wait for April 1," he said while giving a public lecture at Hasanudin University Makassar, quoted on Thursday, March 31.

Erick said, the state must spend very deep to provide fuel subsidies to the community. In fact, the number reaches trillions of rupiah. This includes electricity subsidies for 450 VA customers.

"But that is the government's policy in which fuel subsidies reach tens of trillions. Yesterday, 450 electricity was free of social assistance and others. So the government is here," he explained.