Tuesday, 24th October 2017

RI energy programme expected to save six mln kl of subsidised fuel

7th May 2012 | 1.972 Views
RI energy programme expected to save six mln kl of subsidised fuel
Jero Wacik. (FOTO ANTARA)
Jakarta (ANTARA News) - Energy and Mineral Resource Minister Jero Wacik has targeted to save up to six million kilolitres of subsidised fuel through the new five-point energy policy.

The energy-saving policy is necessary to limit the subsidised fuel quota to around 40-42 million kilolitres, stated the minister at the presidential palace complex here on Monday.

"If there is no saving effort, my estimation is that it could reach 47 million kiloliters," he pointed out.

The five-point energy-saving policy will be formulated in a decree issued by the minister in May this year.

The recently announced energy policy consists of five points: first, the government will prohibit vehicles belonging to the central government, state-owned companies and regional government companies from using subsidised fuel in stages.

Second, the government will promote the conversion from fossil fuel to gas fuel.

"Gas is cheap and we have it abundantly. We must use it. We do have to provide the technology and build more gas filling stations," the minster remarked.

Third, vehicles owned by mining and plantation companies will be prohibited from using subsidised fuel. Pertamina will supply them non-subsidised diesel instead. The minister added that the regional authorities will supervise this arrangement.

Fourth, the state electricity company PLN will not be allowed to build new power plants using fossil fuel.

"It should use coal, gas, geothermal, solar and hydro energy, as well as biogas. We will significantly promote solar energy," he stated.

Fifth, as part of its energy-saving measures, the government will set up units to supervise the electricity usage in government office buildings.

The government has decided to postpone implementing a programme to limit the consumption of subsidised fuel by government-owned and private vehicles, citing reasons that the technicalities of its implementation are likely to be complicated and difficult.