Analyst: Fuel Price Hits Economic Cost
20 December 2014 10:28 WIB
TEMPO.CO, Jakarta - Energy analyst Kurtubi told Tempo on Friday, December 19, 2014, that the fuel price at Rp8,500 has already hit the economic cost based on his calculation. Kurtubi said the calculation was based on the international oil price at US$75 per barrel and rupiah exchange at Rp12,400 per US dollar.
According to Kurtubi, the price resulted in his calculation is the market price without considering the condition of remote areas.
“Indonesia is a large country with various conditions,” he said.
For instance, the fuel price in Papua would be more expensive than in Jakarta due to higher transportation cost. Therefore, the fuel price a Rp8,500 cannot be applied in all regions.
Therefore, Kurtubi suggested Pertamina to release the fuel price that is calculated based on the international oil price, rupiah exchange and the conditions in each region.
ODELIA SINAGA