The Ministry of Energy and Mineral Resources (ESDM) finally issued a regulation regarding the avtur price formula. This rule was issued to maintain the stability of the retail selling price of the Type of General Oil Fuel Avtur type and to implement the provisions of Article 72 of Government Regulation Number 30 of 2009 concerning Amendments to Government Regulation Number 36 of 2004 concerning Downstream Oil and Gas Business Activities.
The regulation is stated in the Decree of the Minister of Energy and Mineral Resources Number 17 K / 10 / MEM / 2019 concerning Basic Price Formula in the Calculation of Retail Selling Prices of Types of General Fuel Types of Avtur Distributed through Aircraft Filling Depots set by ESDM Minister Ignasius Jonan February 1, 2019.
In the regulation, the calculation of the base price for determining the retail selling price of the type of General Oil Fuel Avtur type is channeled through the Aircraft Filling Depot to Indonesian legal entities at the point of delivery for each liter determined by the formula listed in the Appendix which is an integral part from this Ministerial Decree.
The formula for calculating this base price is used by business entities as a guideline to determine the retail selling price of the type of General Oil Fuel Avtur type which is channeled through the Aircraft Filling Depot to Indonesian legal entities at the point of delivery.
“In determining the retail selling price of the type of General Oil Fuel of the Avtur type, which is channeled through the Aircraft Filling Depot, a margin limit of 10% is determined from the base price,” as quoted from www.migas.esdm.go.id on Thursday (7 / 2).
In the Appendix, the basic price formula is stated in the calculation of the Retail Selling Price of General Oil Fuel types of Avtur distributed through the Aircraft Filling Depot, determined based on acquisition costs, storage costs and distribution costs, and margins with the upper limit as follows: Mean Of Platts Singapore ( MOPS) + Rp. 3,581 / liter + Margin (10% of the base price).
MOPS is part of the cost of providing the type of General Oil Fuel of the Avtur type from the production of domestic refineries and / or imports up to Oil Fuel Terminals / Depots, which reflects the price of the product. MOPS is calculated using a formula using the average price of MOPS publications in US $ / barrel period on the 25th of the previous two months up to the 24th of the previous month for the stipulation of the current month.
MOPS for Avtur type is based on the publication price of MOPS with 100% formula multiplied by Kerosene MOPS Jet. The calculation of the conversion of MOPS units of US $ / barrel to rupiah / liter uses the average exchange rate of the rupiah against the US dollar with the middle rate of Bank Indonesia for the 25th period of the previous two months up to the 24th of the previous month for the stipulation of the current month. While for barrel units to liters is 1 barrel equal to 159 liters.
The rupiah constant per liter is the sum of alpha procurement, storage costs and distribution costs. Meanwhile, margin is the advantage of the Business Entity Holders of Commercial Oil and Gas Business Permits in carrying out distribution activities of the type of General Oil Fuel Avtur type through the Aircraft Filling Depot, with the formula (10/90) x (MOPS + Rp. 3,581 / liter).