Indonesian President Susilo Yudhoyono has asked citizens not to panic over fuel shortages, as price hikes drove people to queue up at gas stations.
The price of premium gasoline rose sharply Wednesday, up by 500 percent in some provinces.
Yudhoyono assured the people that fuel supplies would soon be back to normal, Xinhua reported Thursday. He said the government would gradually increase supplies. At the same time, it was drafting energy saving regulations and planning alternative energy supplies.
The fuel shortage is caused by state oil company Pertamina cutting down supplies to avoid financial penalties for exceeding a quota set by the government.
Demand for fuel is currently running about 10 percent higher than budgeted supplies.
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