Global oil shock reaches Indonesia

Going up: Attendants at a petrol station in Tangerang. Pertamina has raised the prices of all its unsubsidised gasoline and diesel brands, pushing some consumers to the more limited subsidised variants. — AFP

JAKARTA: The sharp rise in global oil prices has crept onto Indonesian shores, with diesel shortages and fuel price hikes unfolding in some parts of the archipelago in recent weeks as the government winds down price control policies in the interest of fiscal consolidation.

Logistics firms have reported delivery delays because trucks are spending more time lining up for Solar, subsidised diesel, at petrol stations, particularly in Sumatra, Sulawesi and Kalimantan.