Fuel prices drop fails to satisfy public

Cirebon, NU Online
The people of Cirebon, West Java, remain unconvinced that a government plan to reduce Premium gasoline prices will solve their increasingly complicated financial problems.

The government announced Thursday that effective from Dec. 1, the price of subsidized Premium gasoline would be lowered from Rp 6,000 to Rp 5,500 (54 to 49 US cents) per liter.<>

However, questions have been raised as to why the government is keeping the subsidized prices of diesel and kerosene unchanged when many poor families rely heavily on kerosene.

Meidi, a housewife from Palimanan village, said many housewives had expected the government to also reduce kerosene prices.

"Many housewives still use kerosene to cook. Not only is kerosene more expensive but it is also hard to find. It would be better if the government also reduced the kerosene price," she was quoted by The Jakarta Post as saying.

Many fishermen also rely heavily on subsidized diesel and kerosene, and with recent shortages hitting Cirebon, fishermen and residents in Suranenggala district forced tanker trucks carrying kerosene through the area to stop Thursday.

"It has been almost a week and we haven't received kerosene to mix with diesel, so we cannot sail," said Darma, a fisherman from Suranenggala.

Kerosene is sold at Rp 4,000 to Rp 5,000 per liter in Cirebon, a price too high for many poor fishermen.

Meanwhile, public transport operators said the planned Premium gasoline price reduction would not bring any benefits to them as their daily costs remain the same.

"The number of passengers have dropped since the fuel price hike early last year," said Tanuji, a driver from Kedawung.

"Many people are now opting to take loans for motorcycles instead of taking public transport."

Yoyon Suharyono, Cirebon Labor and Environment Foundation, said the price reduction would not automatically trigger a reduction in goods prices, which have increased in past years.

"At the same time, laborers and informal workers have not received an increased income," he said.

"Laborers and fishermen need diesel and kerosene more than they need gasoline."

Separately in Bandung, students from several West Javanese universities staged a rally Friday rejecting the gasoline price reduction. They claimed it was a political move designed to garner public support ahead of the 2009 general election.

Students pushed motorcycles from the West Java People's Struggle Monument on Jl. Dipatiukur to the Gedung Sate provincial administration compound. One student in the parade grabbed attention by riding a horse blindfolded.

En route to the council building, the crowd stopped in front of the offices of state oil and gas company Pertamina.

Students rallied in front of Gedung Sate while distributing fliers and throwing coins, symbolizing the reduced value of the currency.

Fakih, a student, said by lowering gasoline and not diesel and kerosene prices, the government was proving they were not interested in reducing people's costs but instead in staging a political gimmick.

"Why only reduce gasoline price by Rp 500 and not diesel and kerosene prices as well?" he said. (dar)