11 Companies Facing Penalty in B20 Mandatory Implementation
THERE are at least 11 companies that are facing penalties for alleged non-compliance with contracts in implementing expanded B20 mandatory program.
JAKARTA--There are at least 11 companies that are facing penalties for alleged non-compliance with contracts in implementing expanded B20 mandatory program. Two of them are fuel companies and nine are biofuel companies.
Director General of Oil and Gas at Energy and Mineral Resources Ministry Djoko Siswanto said he has sent letter about the penalty to the companies. “I have signed the letter on Friday and today I sent them,” Djoko said in Jakarta, Monday (17/12/2018) as reported by Detik.com.
Earlier Djoko revealed that of the fuel companies that might face fine over alleged failure in distributing B20 is PT Pertamina (Persero) and the other one is foreign company. “There are two fuel companies, one of them is Pertamina,” Djoko said, Tuesday (11/12/2018).
Minister Energy and Mineral Resources Regulation No. 41/2018 defines sanctions to be imposed to fuel and biofuel companies fail to meet the contract. For fuel companies, sanctions are imposed if companies fail to blend diesel with biodiesel, while sanctions are imposed to biofuel companies that fail to meet the contract regarding biofuel allocation, time of delivery, and specification. The penalties are various from fine of Rp6.000 per liter to revocation of permits. ***
