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LPG Price to Rise Again

1 January 2015 10:40 WIB

TEMPO.CO, Jakarta - PT Pertamina marketing director Ahmad Bambang on Wednesday said Pertamina will increase price of 12-kg LPG by Rp1,500 per kilogram as Pertamina is still suffering losses with the current price.

He continued that the current price is still below the economic price. “We must not suffer losses because LPG is not subsidized goods,” he said. The date when the LPG price will rise is still unclear.

He added that even though world’s oil price is declining, Pertamina is still suffering losses. Until November 2014, Pertamina’s losses for marketing 12-kg LPG reached US$340 million.

On September 10, 2014, Pertamina also increased 12-kg LPG price by Rp1,500 kg, making the price rise to Rp18,000 per tube. The move was made following high price of gas in international market and weakening rupiah toward US dollar.

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