REPUBLIKA.CO.ID, JAKARTA -- The government is still working on a correct formulation before lowering the fuel oil prices, Minister of Energy and Mineral Resources Sudirman Said stated.

The government is planning to lower the fuel prices but will first finalize a correct formulation after considering various factors.

"We will shortly announce the adjustment in the fuel oil prices. Right now, we are still seeking a good formulation, which could maintain price stability," Minister Sudirman noted at the Office Building of the Directorate General of Electricity here on Monday.

Sudirman revealed that the fuel price adjustment will be announced in the near future by I Gusti Nyoman Iratmadja Puja, director general of oil and gas of the Ministry of Energy and Mineral Resources.

The minister stated that the formulation will be made after taking into account various sectors, so that it would be able to maintain price stability.

"This means that with the formulation, the fuel prices will not increase or drop drastically," he pointed out.

Puja explained that based on studies, the commodity prices did not automatically go down when the fuel oil prices were lowered. It only had a small impact. However, if the prices of fuels were raised, though only slightly, it would lead to hikes in commodity prices.

"This will mostly affect the people at the lowest level," he affirmed.

The current prices of premium gasoline are set at Rp7,050 per liter in Java and Bali and Rp6,950 per liter outside these areas. The price of subsidized diesel fuel is Rp5,650 per liter.

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