Government Assessed Failed to Lower Gas Prices for Industry

By : Ridwan And Aldo Bella Putra | Friday, October 13 2017 - 21:00 IWST

Sektor Migas (Foto Ist)
Sektor Migas (Foto Ist)

INDUSTRY.co.id - Jakarta-It has been more than a year since the government issued a regulation related to the decrease of natural gas price for industry. However, until now not all industries are contained in Presidential Regulation No. 40 of 2016 is enjoying cheap gas prices. As a result, the government is considered failed to keep his promise.

Member of the House of Representatives Commission VII, Harry Poernomo urged the government in this case the Ministry of Energy and Mineral Resources (ESDM) immediately realize what is contained in the Presidential Regulation.

"Yesterday a meeting with the Minister of Energy and Mineral Resources I have asked the government failed to fulfill its promise to reduce gas prices," said Harry in Jakarta (12/10/2017).

Harry says ideally it is in the range of US $ 6 per mmbtu. But for some industries is still considered above that, as complained by the Minister of Industry. Whereas the high price of gas will make the competitiveness of domestic industry to be low.

"Presidential regulation should be if the government is not able to provide cheap gas prices, do not make regulations but not run under it," he said.

The high price of this gas is also complained by the industry. President Director of PT Puri Kemenangan Jaya (Centro Keramik), Jusmery Chandra once said there are currently eight ceramics factories or 20 percent of the total existing factories in Indonesia, closed due to not being able to compete.

"The factory is losing, if the loss of 2-3 months is okay, it can still be covered, but if it gets to the end of the year bankruptcy," he said some time ago.

On the other hand, Chairman of the Association of Glass Sheets and Safety, Yustinus Gunawan said, the realization of Presidential Regulation No. 40 of 2016 still can not be felt by the industry.

"Pak Jonan and Mr. Arcandra are super busy returning the sovereignty of RI, that is the problem of Freeport so that the problem of gas price reduction can be observed by the ranks," said Justinus some time ago To INDUSTRY.co.id.

Meanwhile, Minister of Industry Airlangga Hartarto has also been acting on this matter by sending a letter for the ceramic industry to be a priority of price reduction. "We have made a letter to the Ministry of Energy and Mineral Resources," said Airlangga in the House of Representatives Jakarta, some time ago.

The decline in gas prices is indeed one of the highlighted government. Even the gas price reduction plan has been included in the economic policy package volume III released October 7, 2015.

However, up to now only three industries are enjoying the decline in gas prices, namely petrochemicals, fertilizers and steel. Though referring to Presidential Regulation No. 40 of 2016 there are seven industries that should enjoy low prices of fertilizer, petrochemical, oleochemical, steel, ceramics, glass and rubber gloves.

News Comment

Today's Industry

Photo: Aris Nurjani/VOI

Rabu, 28 Februari 2024 - 12:47 WIB

Carsurin and NBRI Strengthen Strategic Alliance to Propel Indonesia’s EV Industry

PT Carsurin Tbk ("Carsurin") and the National Battery Research Institute ("NBRI") are pleased to announce the signing of a pivotal Strategic Alliance Agreement (SAA), marking a significant advancement…

Beras (Foto/Rizki Meirino)

Rabu, 21 Februari 2024 - 08:43 WIB

Gov’t to Continue Disbursing Rice Assistance

President Joko “Jokowi” Widodo has ensured that the Government will continue rolling out the rice assistance program for low-income families. The President made the statement when handing…

Ilustrasi pabrik beras. (Foto: DetikFood)

Rabu, 21 Februari 2024 - 08:40 WIB

Bapanas Head Ensures Availability of Rice Stock Ahead of Ramadan

The National Food Agency (Bapanas) has ensured the availability of rice for the fasting month of Ramadan and Eid al-Fitr 1445 Hijri/2024 CE. “We believe that there is enough rice for the fasting…

Receives Chairman of Jababeka (KIJA), Menpora Dito Ready to Support the Development of Sports SEZs

Rabu, 21 Februari 2024 - 08:23 WIB

Receives Chairman of Jababeka (KIJA), Menpora Dito Ready to Support the Development of Sports SEZs

Chairman of PT Jababeka Tbk (KIJA), Setyono Djuandi Darmono met the Minister of Youth and Sports of the Republic of Indonesia (Menpora RI) Dito Ariotedjo at the Kemenpora RI Office, Senayan,…

The Indonesian Embassy in Cairo Receives Aid for Palestine

Senin, 19 Februari 2024 - 17:39 WIB

The Indonesian Embassy in Cairo Receives Aid for Palestine

The Indonesian Embassy in Cairo welcomes the Radjiman Wedyodiningrat Warship (RJW-992) which arrived at the Al Arish Port, North Sinai Province of Egypt at 8.00 A.M. Cairo local time (13/02).…