Jakarta, CNBC Indonesia – The government, through the Ministry of Energy and Mineral Resources (ESDM), said that the government would remove fuel oil grades (BBM) with an octane rating (RON) of 88 and also RON 89 from the market. The plan will come into effect on January 1, 2023.
Director of Engineering and Environment Mirza Mahendra stressed that the standard and quality (specifications) of 88-octane fuel will be officially revoked. In this way, it is stated that it will no longer be valid from next year.
“As of January 1, 2023 (cancelled), so the Type 88 petrol will not be marketed domestically from that date,” Mirza told CNBC Indonesia a while ago.
According to Mirza, Ron 88 is the lowest octane fuel in Indonesia. So far, Pertamina’s BBM Premium has this octane rating.
However, in addition to the Premium sold by Pertamina, there is also the low-octane fuel sold by PT Vivo Energi Indonesia gas station, i.e. Revvo 89, which is on the waste list. “They (Vivo) meet the specification of Ron 88, but lower than Ron 90,” he said.
PT Vivo Energi Indonesia has previously admitted that it will not sell Ron 89 (BBM) fuel oil, i.e. Revvo 89. This is in line with the government’s decision to ban the sale of low-octane fuel at gas stations in the near future.
Management said the government had decided to abolish the sale of low-octane fuel on December 31, 2022. Therefore, in order to comply with this policy, the company plans to phase out Revvo 89 shares first.
“To comply with government policies, PT Vivo Energy Indonesia has taken the necessary steps to terminate our Revvo 89 supplies by the end of this year,” management said in a written statement quoted by CNBC Indonesia on Tuesday (6/ 9/2022).
Management also explained that the Revvo 89 product itself is actually an unsubsidized fuel product. Then the selling price is determined by international fuel prices and local regulations regarding the maximum selling price formula.
Furthermore, management emphasized that price changes are a business decision to comply with regulations and market changes. This also confirms the circulating question that the government is intervening regarding the price set by the company.
Company secretary PT Pertamina Patra Niaga, Irto Ginting said that this year Pertamina no longer sells low-octane fuel, in this case premium fuel. “Not at all,” Irto told CNBC Indonesia, quoted Tuesday (9/6/2022).
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