Straits Times 7 Apr 08;
JAKARTA - INDONESIAN President Susilo Bambang Yudhoyono has asked people to switch from kerosene to liquefied petroleum gas (LPG) as part of efforts to save the state budget amidst surging global oil prices.
People who were willing to use LPG were 'heroes', the President said during an interaction on Sunday with residents of Cempaka Baru in Central Jakarta, the Antara news agency reported.
He said the government would continue to intensify the implementation of the kerosene-to-gas conversion programme to reduce the fuel subsidy.
Global crude prices are hovering above US$100 (S$138 ) a barrel, well above the assumed oil price in the 2008 state budget.
The government is still subsidising certain types of fuel, and the surge in global oil prices is weighing down the state budget. The use of gas is expected to reduce the burden on the budget.
Dr Yudhoyono was quoted by Antara as saying that the use of gas was more economical and environment-friendly than using kerosene.
Jakarta governor Fauzi Bowo said nearly 95 per cent of low-income households in the capital had received free gas cylinders distributed under the kerosene-to-gas conversion programme.
SBY: Help the government, use LPG
Today Online 8 Apr 08;
JAKARTA — President Susilo Bambang Yudhoyono on Sunday asked Indonesians to switch from kerosene to liquefied petroleum gas (LPG) as part of efforts to prevent the state budget from ballooning amid surging oil prices, state media reported.
The people who were willing to use LPG were "heroes", the President said at a dialogue with residents in Central Jakarta, according to Antara news agency.
The Indonesian government is still subsidising certain types of fuel and this has put a burden on the state budget. Global crude prices are hovering above US$100 a barrel, well above the assumed oil price in the 2008 state budget.
The President said the government would continue to intensify the implementation of the kerosene-to-LPG conversion programme to reduce the cost of fuel subsidy. This would ease some of the burden from the state budget.
Besides, LPG is more economical and environment-friendly than kerosene, he said.
Since the programme was launched in Jakarta, the use of kerosene in the capital plunged six-fold to 600,000 kilolitres from 3.6 million kilolitres, SBY said.
