FuelClub Discount

While polemics were going on on its plan to increase domestic fuel oil prices prompted by world crude price hikes, the Indonesian government came up this week with an idea to quit the Organization of Petroleum Exporting Countries (OPEC).

The idea is plausible. Indonesia is no longer a net oil exporting country. The volume of its imports has exceeded its exports. Thus, Indonesia is no longer an exporting country, which is a plausible reason to quit the OPEC.

The government`s intention to say a goodbye to the oil cartel was hailed by the House of Representatives (DPR), yet a number of analysts still saw some benefits if Indonesia maintained its membership in the organization.
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President Susilo Bambang Yudhoyono of Indonesia said Tuesday that his country was considering quitting OPEC because it was no longer a net oil exporter.

“Our wells are drying,” he said in a nationally televised speech, adding that the country needed to concentrate on increasing domestic production, which has dropped to less than a million barrels a day even as consumption rises.

The government opened talks Monday on whether it should continue to stay with the Organization of Petroleum Exporting Countries or withdraw “until we reach a point where we deserve to rejoin that organization,” Yudhoyono said.
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