OREANDA-NEWS. August 14, 2014. In line with the letter from the Downstream Oil and Gas Regulatory Agency (BPH Migas) No. 937/Ka BPH/2014 dated 24 July 2014, PT Pertamina (Persero), as one of state-owned companies tasked to distribute subsidized fuels, will begin implementing the restriction of subsidized fuels distribution, especially diesel fuel, starting 1 August 2014.
 
Pertamina Corporate Communication Vice President Ali Mundakir said that the 2014 law on the revised state budget had been enacted and the quota for subsidized fuels was cut from 48 million KL to only 46 million KL. To comply with the mandate of the law, the BPH Migas had issued a letter on the restriction of the distribution of diesel and Premium fuels so that the 46 million KL could be achieved, he continued.
 
As one of distributors of subsidized fuels, Pertamina will execute the policy starting 1 August 2014 when all fuel stations (SPBU) in Central Jakarta will no longer sell subsidized diesel fuel.
 
Then starting 4 August 2014, the time for selling subsidized diesel fuel at all SPBUs in Java, Sumatera, Kalimantan and Bali will be limited from 08.00 to 18.00 for certain clusters. The clusters will be focused on industrial estates, mining and plantation areas and areas near ports where misuses of subsidized diesel fuel are very prone to take place. Meanwhile, for SPBUs located in the main route of logistics distribution will not be subjects of the policy. For areas that have already implemented restriction, such as Batam, Bangka Belitung and most areas in Kalimantan will continue implementing the regulations as decided by each regional government.
 
Not only diesel fuel in the transportation sector, starting 4 August 2014, the allocation for subsidized diesel fuel for distributors for fishermen (SPBB/SPBN/SPDN/APMS) will be cut by 20 percent and the distribution will be prioritized for fishermen ships under 30GT.
 
Then, starting 6 August 2014, all SPBUs located in highways will no longer sell Premium fuel, but will sell Pertamax Series. As of today, the total amount of SPBU located in highways is 29 units. Of that amount, 27 units are located in Marketing Operation Region III (Western Java) and 2 units in Marketing Operation Region V (East Java).
 
“In implementing the policy, Pertamina has coordinated with the Association of Fuel Station Owners [Hiswana Migas]. And in disseminating information about the implementation of the regulation, Pertamina has prepared banners to be installed at every SPBU and announcements about this new policy. Pertamina will also ensure the stock of Pertamax series [Pertamax, Pertamax Plus and Pertamina Dex] will be available at all SPBUs,” Ali explained.
 
As of 31 July 2014, the realization of the distribution of subsidized diesel fuel reached 9.12 million KL or around 60 percent of the revised 2014 state budget’s quota of 15.16 million KL. The realization of Premium fuel distribution reached 17.08 million KL or 58 percent of the 29.29 million KL quota.
 
“With that condition, we hope customers can understand the reasons behind the implementation of the policy because it is for the sake of the nation so that the availability of subsidized fuels can be ensured until 31 December 2014 as mandated by the 2014 law on the revised state budget,” Ali said.