No politics behind fuel price cut: Jokowi

JAKARTA. President Joko “Jokowi” Widodo will soon lower fuel prices again, but has shrugged off suggestions that the move would be political, as he is now under fire from the public over his pick for the National Police chief just when he most needs the people’s support for his revised state budget.

Jokowi said on Thursday that the price of Premium gasoline would be lowered to Rp 6,400 or 6,500 (50-51 US cents) from its current price of Rp 7,600, in response to the plunging global oil prices.

In November last year, Jokowi increased the price to Rp 8,500 per liter in his bid to reduce the burdening fuel subsidies. Beginning Jan. 1, he totally removed the subsidy for Premium gasoline, but gave a fixed subsidy of Rp 1,000 per liter for diesel. The price of Premium fell to Rp 7,600 per liter despite the removal of the subsidy thanks to the sharp drop in oil prices in the world market.

The President nonetheless dismissed suspected political motives behind the policy, despite the fact that it would occur after he was criticized for his decision to name graft suspect Comr. Gen. Budi Gunawan as a candidate for National Police chief.

Jokowi, who does not have majority control in the legislature, is currently seeking support from the public as discussions have begun in the House of Representatives about the revised 2015 state budget, which must be approved four weeks after it is proposed.

If the budget fails to win lawmakers’ approval, then all Jokowi’s economic plans will be shelved.

“This is about economic concerns, not politics,” the President told reporters on Thursday, when asked about his reasons for readjusting the fuel price only three weeks after its most recent adjustment.

Both Finance Minister Bambang Brodjonegoro and Energy and Mineral Resources Minister Sudirman Said previously said that the fuel price would be evaluated and tweaked every month, based on monthly fluctuations in oil prices and exchange rates. (Satria Sambijantoro)