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People hope govt not to raise fuel oil prices

NU Online  ·  Senin, 24 Maret 2008 | 00:43 WIB

Semarang, NU Online
People hoped the government would not raise fuel oil prices, although the price of the strategic commodity on the world market has reached 110 US dollars per barrel which forced the government to increase its oil subsidy.
    
"The government should not increase fuel oil prices because our life is now already difficult as the prices of almost all our daily necessaries have gone up," Warsidi (43), an employee of a private company operating in the Wijaya Kusuma Industrial Estate in Semarang, said on Monday (24/3).<>
    
He said that if the price of premium gasoline which is now already quite high is raised,  it will increase the company’s daily operational cost, whereas it is still to be seen whether all the companies in the industrial estate would consequently raise their workers’ wages.
    
Experience shows, said the father of two, a fuel oil price hike was always coupled by an increase in prices of other goods. 

"Even now when the government has not yet raised fuel oil prices, the prices of practically all other goods had already been increased, imagine if fuel oil prices had gone up," he said in a tone of deep concern.
    
Meanwhile, Ahzab (29), who is earning a living as a worker making iron nuts and bolts in Semarang’s Tembalang area, believed that the current fuel oil prices, especially those of gasoline and diesel oil, are actually already quite high, so that if increased, many motorists would not be able to buy premium.
    
"It would be impossible for me to go to work by bus, as then I have to spend more money.  And raising the price of gasoline means reducing my income," said the worker, who lived in Mranggen, Demak regency, Central Java province.
     
It is true that the recent world oil price hikes had caused difficulties to the government’s position, because if it did not raise its fuel subsidy the burden of the relevant budget would go up. Antara reported.
    
Two years ago, President Susilo Bambang Yudhoyono and Vice President  M. Jusuf Kalla after raising fuel oil prices promised not to raise the prices again, at least not until 2009.
    
The government is currently also trying to control the volume of subsidized fuel oil, maintaining it at 35.5 million kiloliters this year, and preventing it to reach 37 million kiloliters.
    
In the meantime, Semarang-based Diponegoro University economic analyst Nugroho SBM said that a fuel oil price hike would only cause further suffering to low-income people, including fixed-income small workers. (dar)