Cheaper Fuel Oil for Better Lives of The Papuan People

Papua cheered for the new fuel oil price. The sky high price was a thing of the past now. The subsidized oil price has now reached Papua.

The opening of the first APMS in Kenyam Via

Oil in Papua has been notorious for its high price. It was usually sold at 25,000 up to 30,000 IDR per liter. The price can go way lower because Papua now has its own Premium and Solar Oil Agent (APMS). The first official agent of State Owned Oil company, Pertamina, in Papua.  The Chief of Yalimo Tribe, Kamandek Wandik, said that previously oil was sold for 25,000 IDR at the highest, during normal days. However, it can reach up to 100,000 IDR when its holiday season.

The selling system for subsidized oil in all Pengunungan Tengah (Midland Mountain) districts of Papua is carried out using coupon. This system is done to prevent shortage of oil and to make distribution easier. Especially in remotes places like Yalimo, where oil can only be transported by air. The maximum quota per day for a motorbike is five liters and for car is 20 liters.

This exciting moment was inspired by an event where President Jokowi received concerns from the Papuan people for the high oil price.  During that meet and greet in Waisai, Papua, President Jokowi promised the people of Papua for them to be able to enjoy the same oil price as in the Jakarta and other cities, in accordance with the national price.  This is what initiated the “One Oil Price” program.

However, the realization of APMS in Papua is not without problems. Obtaining permission to develop APMS in Papua from the local government is challenging, but thankfully the work kept being carried out and finally succeed.

Irib Dabi, a Papuan born owner of APMS Silfo Karya,  told how hard it was to set up an APMS, especially in the midland mountain areas of Papua. He have started the work since 2011 and only today can he finally open his APMS. It is also thanks to the program of prioritizing Papuan natives in APMS ownership.

There are eight priority districts for APMS establishment, which are in the midland mountain areas of Papua that are hard to reach. These districts are Arfak Mountain district, Yalimo, Nduga, Mamberamo Raya, Center Mamberamo, Tolikara, and Puncak. These districts will have agents to distribute subsidized oil to remote and inland areas of Papua. These agents will be subsidized by the government, because of the high distribution cost. To reach the remote areas of Papua, it will need 680 billion IDR. Hence, Highest Retail Price (HET) is being implemented in order for the price to not sky-rocketed once it arrived on the end customers.

Pertamina has also made contract with several airlines to distribute oil to Pegunungan Tengah district of Papua. Currently, there are five airlines in this agreement.

Hopefully, these programs will go smoothly and more APMS are being built. The future of this land of the rising sun is definitely going to be brighter.


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