Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Are Fuel Prices Increases on the Way Up?
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Are Fuel Prices Increases on the Way Up?

Indonesia Struggles with the Threat of Higher Energy Costs and a US$10.8 Billion Annual Fuel Subsidy Strangling the Budget.


Bali News: Indonesia, Fuel subsidies, Bambang Brodjonegoro, gasoline costs, economy
Click Image to Enlarge

(5/23/2011)

Tempo Interactive reports that the finance minister is calling upon the energy and mineral resources minister to urgently increase the price of subsidized fuel.

With world oil prices surpassing US$100 a barrel the price assumption in the national budget are losing their relevance and threatening the government’s desire to stay within budget parameters. A strengthening Rupiah has further complicated the budgetary landscape, affecting the assumptions in place for foreign exchange earned from fuel exports and the substantial burden of the generous fuel subsidies provided by the Indonesian government amounting to US$10.8 billion annually.

That the government must increase the cost of fuel in Indonesia seems inevitable as many economic experts question whether the government can continue to subsidize to the tune of 66.8% the cost of a liter of gasoline at the filling station. Compared to the U.S.A. where fuel has surpassed US$4.00 a gallon, the equivalent cost for a gallon of gas in Bali is only US$1.95. The comparison with European prices, which are even higher than the United States, is even more dramatic.

In terms of the average cost of gasoline around the work Indonesia is the fifth cheapest place in the world to buy gasoline after Turkmenistan, Iraq, Iran and Venezuela.

Indonesians pay 77% less than the worldwide average for fuel. Reflecting this, the Fiscal Pricing Board acting chief, Bambang Brodjonegoro, complains that Indonesian fuel prices are the lowest in East Asia and Australia. This means Indonesian fuel is cheaper than the price paid by consumers in the Philippines, India, Malaysia and Vietnam. Said Bambang: "In Vietnam, where GDP per capita is half of Indonesia’s, fuel oil is US$1 per liter." He reminded that many countries are eliminating fuel subsidies, especially when those countries, like Indonesia, have become net importers of oil.

Adding to Indonesia’s economic woes, fuel production in Indonesia is declining averaging 870,000 barrels a day, a rate 7.7% less than last year.


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Lips are Sealed
Bali Police Raid Bibir Cafť and Take Customers into Custody Under the Suspicion of Illicit Drug Use
(7/16/2017)
Luggage. What Luggage?
Malaysian Malindo Flight Bound for Brisbane Leave Passengers Luggage Behind in Bali
(7/16/2017)
An Emphasis on Street and Neighborhood Policing
Bali Police Training Special Street Crime Units to Ensure Safety of Tourist Visitors
(7/16/2017)
We Are Many; We Are One!
12th Sanur Village Festival August 9-13, 2017 Seeking to Unite the Indonesian Nation.
(7/16/2017)
A Stake in Kidney Transplants
Baliís Sanglah General Hospital Preparing to Perform its 5th Kidney Transplant in August 2017.
(7/16/2017)
They Have to Be Carefully Taught
Young Girl from Bangli, Bali Special Needs Schools Qualifies to Compete in National Painting Competition
(7/17/2017)
Baliís Travel Event of the Year
Skal Travel Industry Ball at Ayodya Resort Bali Saturday, August 5, 2017
(7/16/2017)
Carolís Calling
Carol Waller Appointed General Manager at Holiday Inn Resort Benoa
(7/16/2017)
Certified Conservationists
Ayodya Resort Bali Certified by TUV Rheinland Indonesia
(7/16/2017)
In the Summertime
Bali Airport Redecorates to Welcome the Summer Tourist Rush
(7/16/2017)
Relief for the Reef
Pressure Grows for Compensation and Criminal Charges Against Captain of Caledonia Sky that Damaged Reef at Raja Ampat
(7/16/2017)
More Ships Ahoy
Indonesia Determined to Increase Share of Cruise and Yacht Market
(7/16/2017)
All [News]!