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Govt to review gas price for industries

20th June 2012 | 1.507 Views
Jakarta (ANTARA News) - The Energy and Mineral Resources Ministry is planning to review the gas price for the industrial sector in response to calls from business people for a gradual increase in the price of the commodity.

"The government is currently giving priority to state electricity firm PLN, fertilizer companies, oil lifting, and then industries. However, the government will increase gas supplies to the industrial sector," Energy and Mineral Resources Minister Jero Wacik said at a meeting with industrial gas users here on Wednesday.

"The government would recalculate the increase in gas price for the industrial sector and also ensure gas supplies," he added.

"According to the government`s plan, there will be extra gas supplies from a number of oil and gas blocks, such as in Natuna and Tangguh, between 2012 and 2020. The government will consider the business people`s proposal for a gradual increase in gas price," Jero stated.

The minister said the government would consider giving priority to the industrial sector for the sake of the country`s economy.

"The government will ensure adequate gas supplies for the industrial sector, because the sector has been the engine of the country`s economic growth," Jero explained.

He said the gas supplies would increase in line with the government`s fuel-to-gas conversion program.

"The fuel-to-gas conversion program will increase gas supplies and the government will always try to ensure that all sectors receive gas supplies according to their needs," Jero added. (*)