Indonesia Investment Promotion Center (IIPC) Sydney

 

News & Event


, April 24, 2020
MOEMR ANNOUNCED REDUCTION IN INDUSTRIAL GAS PRICE

Minister of Energy and Mineral Resources (MOEMR), Arifin Tasrif, has announced the reduction in the price of gas for industry to US$ 6 per one million British Thermal Units (MMBU). The decrease in gas price has been received well by the industry, as stated by the Ministry of Industry. According to the Minister of Industry, Agus Gumiwang Kartasasmita, the reduction in the price of gas for industry will improve the competitiveness of Indonesian manufacturing and industry sector as the reduction will also bring the cost of production down.

The price of gas has been reduced with the introduction of Minister of Energy and Mineral Resources Regulation No. 8/2020 Concerning Determination of Users and Price of Gas for Certain Industry. Certain industry benefited from the regulation includes fertilizer industry, petrochemical, oleochemical, stee. ceramic, rubber gloves, and glass industry. Other industry not mentioned and has been purchasing gas way higher than US$ 6 per one MMBU will get lower rate approacing the US$ 6 per MMBU. For industry sector that has been purchasing gas lower than US$ 6 per MMBU will be allowed to purchase gas at the usual rate without any increase.