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JAKARTA: Indonesian President Susilo Bambang
Yudhoyono issued an impassioned plea Wednesday for oil powers and
consumer nations to stop the blame game over oil prices and join
forces to calm the raging market.
Faced with opinion polls showing
rising domestic fuel costs are hurting his chances for re-election
next year, the leader of Asia’s only Organization of the
Petroleum-Exporting Countries (OPEC) member said either oil
production must increase or consumption must fall.
"This is time for producer
countries, not only OPEC and Saudi Arabia but also Russia and
Venezuela, to sit together with consumer nations, with the US,
China, India, and not to blame each other," Yudhoyono said in a
speech carried on ElShinta radio.
"They need to make
calculations about to what extent they can step up their production.
If it’s not possible they have to have commit to reduce oil
consumption."
His comments came as world oil
traded near record levels in Asia after OPEC’s president talked of
uncertainty surrounding future investment in energy facilities to
boost crude output.
New York’s main oil futures
contract, light sweet crude for August delivery, was $1.27 higher at
$142.24 a barrel from a record close of $140.97 on Tuesday at the
New York Mercantile Exchange.
"This is an urgent matter
for international communities because the oil price can’t be
allowed to skyrocket to $200 per barrel," Yudhoyono said.
He said Indonesia, as the largest
economy in Southeast Asia, would make its case at the G8 summit in
Japan next week. It will be the first time Indonesia takes part in a
meeting of the rich industrialized powers.
"I have already sent a
letter to the Japanese prime minister. I hope there will be a
serious discussion during this occasion to find a solution to the
oil and food crisis," he said.
Indonesia is Asia’s only member
of the OPEC but Jakarta is planning to pull out at the end of the
year as falling production has turned it into a net importer.
It was one of the first Asian
countries to raise domestic fuel prices, announcing a 28.7-percent
average rise in May as oil prices passed $120 a barrel.
The move was seen as essential to
rein in ballooning oil subsidies but it has been deeply unpopular
and sparked widespread protests, even though Indonesians continue to
enjoy some of the lowest fuel prices in the region.
--AFP
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