For which purpose, state owned petroleum company Pertamina will only sell subsidized fuel i.e Premium to public transportation.
Whereas, owners of private vehicles should use the more expensive non-subsidized fuel i.e. Pertamax.
However, Pertamina is currently not ready to supply enough Pertamax, therefore it must import the fuel.
Kompas reported that currently, Pertamina can only produce 200,000 kiloliters of Pertamax per day, which is not enough to meet the highly increasing domestic need.
Considering the above, I felt that the price differences between Premium and Pertamax, and Pertamina's inability to supply enough Pertamax, would create the existence of black market for the Subsidized Fuel.
Therefore, I hope that the government would carefully reconsider its decision.
Photo : Courtesy of Kompas.