VIVAnews – The plan to construct domestic fuel manufacturing refinery is still put on hold since the proposed incentive has yet to be decided.
“The [fuel manufacturing refinery] plan is still in process, waiting the incentive,” said Director General of Oil and Gas Evita Herawati Legowo through a short message in Jakarta on Friday, Dec. 11.
According to the plan, the government is going to construct three refineries, namely Banten refinery with 300,00 barrels per day in capacity in Bojonegara, Banten, Tuban refinery with 300,000 barrels per day in capacity in Tuban, East Java and Balongan refinery with a capacity of 200,000 barrels per day.
The Energy and Mineral Resources Minister has proposed the additional incentive other than the incentive based on the government regulation No. 62/2008 to the Finance Minister to gain refinery investor in Indonesia. The Investment Coordinating Board (BKPM) holds a significant role related to their duty boosting the investment.
Previously, Pertamina’s president director Karen Agustiawan said that Pertamina was still targeting the Tuban and Bojonegara refinery to be finished in 2014.
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Translated by: Ariyantri E. Tarman
