Indonesia Narrows Electricity Subsidy To Underprivileged Community

By Azeman Ariffin JAKARTA, Jan 17 (Bernama) -- The Indonesian government is determined to ensure that its electricity subsidy rationalisation implemented on Jan 1 is narrowed to the underprivileged community. Local media reported state-owned power company, PT PLN's corporate communication chief Made Suprateka as saying that the electricity tariff for 900-VA domestic consumers would also be increased, in stages. He said the first increase was effected on Jan 1, to be followed by the second on March 1 and third, on May 1. Suprateka said the tariff rate increase effective Jan 1 was from Rp 605 to Rp 791/kWh; on March 1, to Rp 1,034/kWh, and on May 1, to Rp 1,352/kWh. Rp 1,000 is equivalent to about 30 Malaysian sen. A group of university students recently handed a memorandum to the government objecting to the increase. Meanwhile, Indonesian Energy and Mineral Resources Ministry, communication bureau chief Sujatmiko was quoted as saying that the electricity subsidy in 2015 based on the ministry's records, amounted to Rp 56.55 trillion. Of the total, he said, Rp 49.32 trillion had benefited 450 VA and 900 VA consumers. Only 23.15 million of the 46 million subsidy recipients are in the poor and needy bracket, according to him. Yet, he said, about 87 per cent of the electricity subsidy in 2015 which was targeted for the poor and less fortunate community, was enjoyed by 450 VA and 900 VA consumers alike. Only 88.3 per cent of the population in Indonesia currently have access to power supply while 11.7 per cent or about 29 million others are still living without the utility. -- BERNAMA