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View all search resultsExperts have warned that an increase in nonsubsidized fuel prices may lower worker productivity and erode their income, while also putting more pressure on the supply of subsidized gasolines that may create a shortage.
he recent price increase of nonsubsidized fuels has forced commuters and high-mobility workers to switch to subsidized fuels in an attempt to cut transportation costs, triggering long queues at gas stations in Jakarta.
On June 10, PT Pertamina Patra Niaga, the commercial and trading arm of state energy giant Pertamina, raised the prices of unsubsidized RON-92 Pertamax from Rp 12,300 (69 US cents) to Rp 16,250 per liter as well as RON-95 Pertamax Green from Rp 12,900 to Rp 17,000 per liter. The prices for subsidized Pertalite and Biosolar remain unchanged.
Before the price hike, ojol (online motorcycle taxi) driver Samsudin from Cipayung, East Jakarta, regularly filled his motorcycle with Pertamax, believing it offers better protection for his vehicle’s engine.
But after the price rose, he switched to Pertalite, currently priced at Rp 10,000 per liter, despite concerns among motorists the fuel may affect engine performance.
“The price rise may be only Rp 3,000 to Rp 4,000 per liter, but [ride hailing drivers’] expenses have risen sharply because we also have to cover motorcycle maintenance and other costs,” Samsudin said on Friday near a Pertamina gas station in Kampung Rambutan, East Jakarta.
“I switched to Pertalite to keep my costs down. My income remains flat, while Pertamax prices have soared,” the 52-year-old driver added.
With the mass switch prompting longer lines at gas stations, Samsudin leaves home before dawn so he can avoid the queue and spend more time picking up fares.
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