Petrol goes up in Indonesia
Many visitors to Indonesia wonder how the price of petrol is so low and how a country with a low GNP can access low priced petroleum.
The answer is the government subsizes petrol, selling it domesically at a deflated price so locals can keep the trucks, buses and motorbikes moving.
In the UK where I am from the governnment taxes the heck out of petrol punishing anyone daring to won a car. Over here it is different and when prices rise people go nuts.
This week the price of petrol went up and there have been protests around the country, mostly peaceful.
Yesterday I filled up with a big jug of petrol from a street vndor who made sure to tell me that the jug was now 6,000rp instead of 5,000rp. No big deal to me but this is one of the issues that has has led to unease in years past.
By Nick | Permalink
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