Diesel Fuel Ban to Inflict Profit Loss for Fuel Stations

TEMPO.CO, Jakarta - The Association of Fuel Station Owners (Hiswana Migas) said the removal of subsidized diesel fuel from gas stations would cause their sales figures to decline, particularly those of fuel stations in Central Jakarta.

"The impacts are evident. The turnover will decrease while operational costs remain the same," Juan Tarigan, chairman of Hiswana Migas for Jakarta, West Java and Banten, told Tempo yesterday.

Juan said some owners would lose profits since the diesel fuel ban has been imposed. However, he admitted there might be an increase in Pertamina Dex sales although it might not cover the profit losses inflicted by the diesel fuel ban.

There is a wide gap between the price of subsidized diesel fuel, available at Rp5,500 per liter, and that of Pertamina Dex at Rp13,000 per liter, resulting in pessimism that the profit gained from the Pertamina Dex will cover the loss. Therefore, Juan suggested Pertamina to increase the sales margin for Pertamina Dex in Central Jakarta as a compensation of the subsidized diesel fuel ban.

Earlier, the government had enforced a policy to remove subsidized diesel fuel in Central Jakarta. Starting Monday, the government will also enforce a regulation to limit diesel fuel sales in Java, Bali, Kalimantan and Sumatra from 8 a.m. to 6 p.m. Later on Wednesday, the limitation of subsidized diesel fuel will also be enforced for fishermen and of Premium fuel at toll roads.

ANANDA PUTRI