Monday, 18 July 2016

THERE IS ROOM REDUCING PRICE OF OIL BY RP.1.000 PER LITRE



Member of Parliament Kurtubi supported Government’s plan to lower price of oil. With price of crude oil of USD 50 per barrel, and Rupiah value Rp.15,000 per USD Production Cost of Oil would be Rp.6,000 per litre. There was room for reducing price of oil fuel by Rp.1,000.- per litre; Kurtubi said this at the Parliament House on Monday (5/10).

Kurtubi who was also member of Commission VII of House rated that if the Government lowered oil price it would enhance national increase economic growth because lowered oil price would increase people’s purchasing power in the present adverse condition. One thing was sure it would increase consumption and enhance economic growth, moreover to consider that Government spending from APBN State budget was beginning to liquidate.

As world’s oil price dropped, what could be done by the Government was not just to lower oil price but price of gas and electricity must be lowered as well because price of coal as fuel Steam-Powered Generator and Diesel Powered Generator had for long been down.

Kurtubi said that if this were executed industry would grow even better to create new job opportunities. So economic growth of Q1 2016 might reach above 5 percent or might even reach 6%. Why not? (SS)

Business News - October 9, 2015

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