According to the update at 8:10 AM on March 28 (Hanoi time), the price of Pertamax gasoline (equivalent to the 92 gasoline product line in Vietnam) listed by PERTAMINA Group in the Indonesian market ranges from (9,000 – 9,400 IDR ), about 14,345 – 14,982 VND).

Data on Kata Data also shows that Pertamax sells only IDR 9,000, the lowest price of petrol on the market. Meanwhile, rival V-Power 92 (from Shell) a liter is sold for IDR 12,990 (20,678 VND, higher than the price of Vietnamese gasoline).

According to Kompas (Indonesia) on Sunday, the new movement in gasoline prices is consistent with the rising economic prices of fuels in general, RON 92 or the equivalent of Pertamax in particular, based on calculations by the Ministry of Energy and Mineral Resources.

Specifically, according to this sheet, the upper limit or economic price for RON 92 gasoline is estimated at IDR 16,000 / liter in April 2022. This is higher than the economic price in March 2021 of IDR 14,526. However, the economic price is the same, but Pertamina still sells Pertamax for about 9,400 IDR/litre. This means that there is a huge difference between the selling price and the economic price at Pertamax.

Agung Pribadi, director of the Department of Communications, Public Information Services and Cooperation of the Ministry of Energy and Mineral Resources, said the high oil price in the world market, currently above USD 100/barrel, is having a major impact on the fuel price. Or.

The retail price of regular RON 92 gasoline in March 2022 is IDR 14,526/litre based on the actual price movement of gasoline in the previous month, of which the oil price in February 2022 is not as high as in March 2022.

“Therefore, the economic price of RON 92 petrol will be even higher in April 2022 at IDR 14,526/litre, possibly around IDR 16,000/litre,” the leader said in a statement on Sunday. If sold for IDR 16,000/litre, the price of Pertamax gasoline will drop to about VND 25,475, still cheaper than Petrol 92 in Vietnam, about VND 3,000/litre.

Earlier, the Indonesian government also signaled an increase in the price of Pertamax. Accordingly, Finance Minister Sri Mulyani Indrawatit noted that Pertamax has been prioritized for elite consumption.

During CNBC’s 2022 Indonesia Economic Outlook on Tuesday, he said, “Pertamax could be affected by a rise in world oil prices as it contains non-standardized fuel and is consumed by the upper class”.

Pressure to raise gas prices due to budget impact

Meanwhile, the special Tham vana of the Minister of State Enterprises, Arya Sinulingga, suggested to adjust the selling price of Pertamax. According to him, if Pertamax is still sold for about IDR 9,000/litre, it means that Pertamina is subsidizing luxury cars.

According to him, the consumption of Pertamax accounts for about 13% of the total national fuel consumption, most of the users are wealthy people or owners of luxury cars.

Meanwhile, the Energy Economics Observer of Gadjah Mada University (UGM) Fahmy Radhi ruled that the selling price of Pertamax should be based on economic prices. If Pertamax is not increased, the burden of Pertamina will be heavier. According to this view, the increase in the Pertamax price will have a significant impact on inflation. “Raising Pertamax has the potential to increase inflation,” Fahmy said.

The country’s Tribun newspaper also reported the possibility of a price hike for Pertamax, in line with world oil prices soaring above $100 a barrel.

Acting Secretary of PT Pertamina Patra Niaga, Irto Ginting, has not specified or confirmed the price increase of Pertamax in the near future as coordination work is still ongoing. “We are still working with stakeholders to adjust the price of Pertamax,” Irto said.

“As the Minister of Energy said, at the moment we are still monitoring oil prices because if they are extended the burden is really heavy, both for the state budget, Pertamina and [related] sectors. – PV],” explains an Indonesian leader in the energy sector.


Source: Vietnam Insider


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