Fuel prices could be cut again

The Indonesian government may further cut the prices of premium gasoline and diesel on Jan. 15, hinting it may even, partly or entirely, float the prices of the two subsidized fuels to keep in line with global crude prices. If it happens, it will be the third such price cut since early December, a popularity boosting move that could bode well for the government ahead of next year’s elections. Asked about the size of the possible cut, Purnomo said the government was still evaluating all indicators, in particular fluctuations in the price of crude oil. (December 27, 2008)