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Jakarta (ANTARA News) - The House of Representatives (DPR) held a consultative meeting with the leaders of House factions and related commissions on Tuesday to discuss a government plan to raise domestic fuel oil prices.

Besides the fuel oil price hike issue, the meeting - chaired by House Speaker Agung Laksono - also discussed the mechanism to fill the void left by former House deputy speaker Zaenal Maarif.

Following the surge in the global crude oil price to over US$100 per barrel, the government is currently planning to raise domestic fuel prices.

Meanwhile, Coordinating Minister for Economiv Affairs Boediono said here on Monday the government would raise the prices of domestic subsidized fuel oil prices and also take energy saving measures.

The price hike policy would be implemented in combination with a program to provide financial compensation to people in the lower economic bracket, Boediono told the press after a limited cabinet meeting at the presidential office here on Monday.

On the occasion, Boediono also said the government would cut back on fuel oil and electricity consumption by conserving energy, applying an incentive and disincentive system to the public`s use of electricity and regulating electricity consumption in government offices.

Fuel oil retrenchment would have to be preceded by preliminary steps for example by using smart cards and control cards which would be tried out soon in some regions.

In addition, a state budget retrenchment program which was decided under the 2008 amended state budget would be carried out.

About the program to compensate poor people for the higher fuel oil prices, the minister said the mechanism to distribute the compensation funds and their amounts were still under discussion.

Regarding the exact date to announce the fuel price hikes, the minister said he could not yet divulge it to journalists.

The government could not yet predict the percentage of the planned fuel oil price hikes as the calculations and provisions on other technical matters related to the price increases were still being made.

But he hinted the fuel oil price increases would still be "within the publics financial reach" along with the compensation payments.

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