Rangga D. Fadillah, The Jakarta Post, Jakarta | Thu, 05/31/2012 7:23 AM
Several governors in Kalimantan say they will intervene to end blockades
of coal shipments to Java after the government agreed to increase their
subsidized-fuel quotas.
South Kalimantan Governor Rudy Ariffin
said in Jakarta on Wednesday that the provincial administrations in
Kalimantan would ask the organizers of the blockades to stand down.
“The
central government has committed to fulfilling the needs of the people
of Kalimantan,” Rudy told reporters after meeting Energy and Mineral
Resources Minister Jero Wacik at the ministry in Jakarta on Wednesday.
Rudy
was accompanied to the meeting by West Kalimantan Deputy Governor
Christiandy Sanjaya, Central Kalimantan Deputy Governor Ahmad Diran and
East Kalimantan City Development Planning Board (Bappeda) chief Rusmadi.
The three provinces are the nation’s main source of coal. East Kalimatan is also the nation’s largest source of oil and gas.
Also
at the meeting were ministry oil and gas chief Evita Herawati Legowo,
Pertamina president director Karen Agustiawan and downstream oil and gas
authority BPHMigas head Andy Noorsaman Sommeng.
Jero told reporters after the meeting that the government would implement two policies to respond to the blockade.
“First,
the government will fairly distribute the remaining 2.5 million
kiloliters from the unused quota of subsidized fuel to all cities and
regencies across the country,” he said.
This year’s subsidized
fuel quota is 40 million kiloliters, of which 37.5 million kiloliters
has been allotted to cities and regencies and 2.5 million kiloliters
held in reserve.
The second policy, according to Jero, was for Pertamina to deliver non-subsidized fuel to areas with subsidized-fuel shortages.
Rudy said that the additional subsidized and non-subsidized fuel would be delivered starting this week.
“We
don’t know the exact amount yet, but I believe that it will be enough
until the central government proposes an increased subsidized-fuel quota
to the House,” Rudy said.
Two weeks ago, representatives of
Kalimantan’s regional administrations led by Rudy met lawmakers and
demanded an increase in their allotment of subsidized fuels.
During
a meeting with lawmakers on House of Representatives Commission VII
overseeing energy, the local leaders demanded that this year’s quota be
increased by 27.8 percent to 3.46 million kiloliters, up from 2.71
million kiloliters in the 2012 revised state budget.
Speaking on
behalf of his peers, Rudy said the quota allotted to Kalimantan for
subsidized fuels such as Premium, diesel and kerosene was “unfair”.
Rudy
said that the quota for Kalimantan was 7 percent of the national quota
of 40 million kiloliters, down from 7.19 percent last year, while other
islands, excluding Java, generally were accorded increased allocations.
The
government said that there was a possibility that the subsidized fuel
quota for Kalimantan could not meet demand since a large percentage was
used by trucks operated by coal mining and plantation companies.
Subsidized fuel cannot be used for commercial purposes.
On
Saturday, a group comprised of NGOs, local residents and students
blocked Barito River in South Kalimantan to bar coal carriers from
leaving the province because the central government refused to meet the
demand.
A similar blockade was erected at Mahakam River in East Kalimantan on Wednesday.
Pertamina
chief Karen said she previously asked Kalimantan businesses to build
more fuel stations for non-subsidized fuels on the island and persuade
Premium and diesel fuel agents to set up mini-stations.
BPHMigas’
Ibrahim Hasyim urged local administrations containing industrial,
mining and plantations areas to issue regulations banning commercial
vehicles from using subsidized fuel, among other things.
“Next
step is for administrations to eradicate illegal resellers. For areas
that have a limited amount of gas stations, the existence of resellers
may be understandable, but we have to ensure that the distance is not
too close to fuel stations,” he said in a text message.
http://www.thejakartapost.com/news/2012/05/31/kalimantan-leaders-end-coal-blockade.html
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