ASIA

Gas transportation loses its charm in Indonesia

Data collected by Indonesia's state-owned oil and gas firm, Pertamina, has confirmed that the use...

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According to the released figures, in 2001, there were 4,600 gas-powered vehicles and 21,767 kilolitres of gas was sold. By the following year, only 2,500 gas-powered vehicles plied the roads of the country and only 19,516 kilolitres of gas was sold.

The reason being given is a matter of price. Gas prices are only marginally cheaper than gasoline, 61% of the price of gasoline, to be more exact. Given a choice of paying Rupiah (Rp) 700 per litre for gas and Rp 1,810 per litre for gasoline, many motorists opt for latter. The high cost of converting cars to operate on gas has also been suggested as a reason for the falling use of gas.

Indonesia introduced gas as alternative fuel source for its transportation sector in mid-1986. Then, as now, gas was seen as the answer that would lead to the lessening dependence on fuel oil and help promote a cleaner source of energy. Being the world's largest producer of LNG could also have been a reason.

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