Political situation in Jakarta

[atlantis]

@atlantis, sometimes it is good and clever politics to publicise something way in advance... it can diffuse the bigger situation

I definitively agree. Unfortunately it wasn't the strategy behind it I am afraid.

That's the part that got me confused from The Jakarta Globe. Source: Fight Over Indonesian Fuel Hikes Not Over

This isn't the first time that misleading informations are peddle by an Indonesian media. I don't read The Globe or The Post. Too many times I've found ridiculous errors in their articles. But don't worry, I've read similar erroneous interpretation in Indonesian speaking medias.

[atlantis]

For april 2012, the Indonesian Crude oil Price has been on average at USD 124,63, only slightly lower than for March 2012. For the past 6 months it brings to an average of USD 119,08 per barrel. We are very close to the treshold authorizing automatically the raise of BBM price (USD 120,75).

In May, if the trend of the ICP is superior to an average of USD 122,95 per barrel, we wiould hit the prerequisite for a hike on June 1st, 2012.

As a reminder, here is the ICP for the past 6 months:

November 2011: USD 112,94
December 2011: USD 110,70
January 2012: USD 115,91
February 2012: USD 122,17
March 2012: USD 128,14
April 2012: USD 124,63

President SBY recenty declared that the government would implement a policy to significantly reduce the volume of subsidized BBM due to its increasing cost. It's all fair for me but it is a wrong politic in my opinion. Many commercial vehicles are running on premium and small businesses simply can't afford Pertamax, especially in the far provinces. Pertamax in Manado was IDR 11.250 at the pump, yesterday which is almost IDR 7.000 more expensive per liter than Premium. The reduction of stocks in subsidized BBM (Premieum) has created havoc in Manado, with incredibly long queues of pick ups and angkot at each SPBU. By solidarity with our drivers I went to queue with some of them on Friday and we've been waiting 3 (yes, three) bloody hours just to fill tanks!

The policy of restricting BBM to vehicles below 1500cc is a joke. Most vehicles you would be able to buy and maintain in Manado are the usual Toyota/Daihatsu/Honda/Nissan/Suzuki with 99% being at a maximum of 1497cc or running on solar!

They are just, as usual, displaying a lack of understanding of economics.

While queuing, I had time to discuss with more than 30 drivers of angkutan barang or angkutan penumpang and they were all fed up, wondering why the government doesn't raise the price and authorize a bigger stock of premium. Black market around each SPBU in Manado is incredibly prolific, selling by galon of 5 liters of by botol, subisidized BBM at IDR 6.000 or more per liter. The politic of the government is just plain ridiculous.

[rabbit_39]

In my own experience, the lack of education and most importantly lack of will to learn more about the science behind the decisions they're making is commonplace. On one of the online forums I belong to for renewable energy, there are ex ministers and other insiders within the government. Would you believe that they're investigating some "free energy" claims and perpetual machine designs? And they're proud of the work they did/are doing to alleviate Indonesia's energy problems.

[wombat]

If there are ex-ministers who still debate or even consider energy out of nothing or perpetual machine - I would stop their pension and entitlements as they obviously would be able to make money from their perpetual machine.

In my own experience, the lack of education and most importantly lack of will to learn more about the science behind the decisions they're making is commonplace. On one of the online forums I belong to for renewable energy, there are ex ministers and other insiders within the government. Would you believe that they're investigating some "free energy" claims and perpetual machine designs? And they're proud of the work they did/are doing to alleviate Indonesia's energy problems.

[jim69]

President SBY recenty declared that the government would implement a policy to significantly reduce the volume of subsidized BBM due to its increasing cost. It's all fair for me but it is a wrong politic in my opinion. Many commercial vehicles are running on premium and small businesses simply can't afford Pertamax, especially in the far provinces. Pertamax in Manado was IDR 11.250 at the pump, yesterday which is almost IDR 7.000 more expensive per liter than Premium. The reduction of stocks in subsidized BBM (Premieum) has created havoc in Manado, with incredibly long queues of pick ups and angkot at each SPBU. By solidarity with our drivers I went to queue with some of them on Friday and we've been waiting 3 (yes, three) bloody hours just to fill tanks!

The policy of restricting BBM to vehicles below 1500cc is a joke. Most vehicles you would be able to buy and maintain in Manado are the usual Toyota/Daihatsu/Honda/Nissan/Suzuki with 99% being at a maximum of 1497cc or running on solar!

They are just, as usual, displaying a lack of understanding of economics.

While queuing, I had time to discuss with more than 30 drivers of angkutan barang or angkutan penumpang and they were all fed up, wondering why the government doesn't raise the price and authorize a bigger stock of premium. Black market around each SPBU in Manado is incredibly prolific, selling by galon of 5 liters of by botol, subisidized BBM at IDR 6.000 or more per liter. The politic of the government is just plain ridiculous.
[/COLOR]

Is there actualy a plan to impliment this rule?
Can you imagine actualy trying to police it. The pump attendants would soon become very rich. 50,000 in the hand to fill the car with premium, would just meen going early in the morning or late at night.

[atlantis]

For May 2012, the Indonesian Crude Oil Price has been on average at USD 113,76 which is about 10% less than its average for April.
For the past 6 months, the average price of Indonesia Crude Oil to USD 119,21 per barrel, still lower than the USD 120,75 treshold. In order for the price of BBM to be raised in July 2012, it would require the crude to be on average at USD 119,89 for June 2012.

[ricky_id]

Kompas editorial on 4 June 2012, page 17

Make Energy Saving Concrete!

How exhausted we have been hearing the faint scream of the officials to save our energy. We've been there before, since the New Order.

What has been urged so far is the conversion from oil to coal or to renewables, or to the mixture of fossil oil with vegetable-based fuel. And then? Stationary. It looks as if we're screaming in the middle of desert: loud, resonant, and then gone.

One visible thing is that these recommendations have not reached the most strategic aspects such as lamp usage, air-con use, minimising the use of cars with horse power above 2,500 cc, or not allowing the consumption of subsidised fuel.

The implication could be massive. How difficult is it for the government to enforce the policies such as replacing normal bulb lamps with LED, or designing buildings that maximise the use of natural light from the sun during daytime? Afterwards, the government could wield a considerable energy to encourage the private sector to utilise energy-saving machines, LED lamps, etc.

Waste

Huge energy waste is visible everywhere. Aeroplanes, for one, consume excessive fuel due to the fact that they have to queue for landing and take-off. What has the government done so far to design good airports to save the fuel? Now calculate the number of airports across Indonesia! How much fuel could have been saved if the government decided to build airports that are capable of allowing numerous aeroplanes amid big air traffic? This is also visible at sea: how long does a ship have to wait until it can pull ashore?

On the road front it is also not as bad: How much fuel has been wasted for the 4- and more-wheels have been trapped in the legendary macet?

Or to put it simpler: assume how much benzine could have been spared if the traffic at all markets is flowing. Imagine how much a typical commuter would save on the tank with the public transport not stopping suddenly.

When it comes to private vehicles, the government does not appear to have put a lot of effort to control the number of circulating vehicles. Cars manufactured in the 1960's are visible on the roads alongside the luxurious ones. There has not also been a visible attempt to tax the owners of the cars with the horse power of 2,500 cc even higher. It looks as if the government has enjoys the petty tax delivered by the import of these cars despite the fact it consumes a considerable amount of fuel.

What is not less important, what has been provided for the developers that build very environmentally-friendly establishments or those lessening the electricity consumption?

What incentives has been handed to the developers who are serious in building energy-saving residential and offices? In Singapore, such developers would usually earn an incentive up to the equivalent of billions of Rupiah in value.

We need to step further to save this nation from the fuel addiction. This hope could only be met if we accompanied that with a concrete effort to save energy. We have been tired of listening to slogans.