INDONESIA ENERGY RESILIENCE FUND TO BE COLLECTED FROM DOWNSTREAM: COUNCIL

Jakarta, 20 Rabi’ul Awwal 1437/31 December 2015 (MINA) – The Indonesia National Energy Council (DEN) has explained that the government will collect levy for the Energy Resilience Fund (DKE) from downstream using the momentum of the decrease in oil prices.

“The government will collect it from downstream since the oil prices are down. If the oil prices go up again, there is a possibility that the levy would be stopped,” DEN member Rinaldy Dalimi stated here, Wednesday, Antara News Agency reports as quoted by Mi’raj Islamic News Agency (MINA).

The government conducts an evaluation of oil prices every three months, he revealed.

The oil prices are forecast to fall up to US$20 per barrel in the year ahead, he noted.

The council has supported the policy on DKE as the funds could be used for exploration, infrastructure development, and the promotion of renewable energy.

“We will participate in supervising the utilization of the DKE to ensure that it is used to meet the right targets,” he affirmed.

As of January 5, 2015, the government will decrease the oil prices, but at the same time impose levies for the DKE.

The cost of premium gasoline will be down Rp150 to Rp7,150 per liter, and the price of diesel fuel will be cut by Rp800 to Rp5,950 per liter.

The new prices already include the DKE levies worth Rp200 per liter for premium gasoline and Rp300 for diesel fuel.

The government is expected to collect between Rp15 trillion and Rp16 trillion annually from the DKE levies to be used for the development of alternative energy.  (T/P010/R03)

Mi’raj Islamic News Agency (MINA)