Electricity Subsidy Increases by Rp7 Trillion

Friday, 21 July 2017 , 18:00:01 WIB -

Electricity network maintenance. (ANTARA)

JAKARTA, GRES.NEWS – Head of Subsidy and Electricity Tariff in the Energy and Mineral Resources Ministry’s Directorate General of Electricity, David Fernando Silalahi, said that the subsidy for electricity in 2017 will be increased by Rp7 trillion. The subsidy is increased as the latest data shows 2.44 million new 900 VA-customers who deserve to receive the subsidy. Therefore, David said that the number of customers who are eligible for the subsidy increases from 4.1 million to 6.54 million customers, so the subsidy has to be increased by Rp7 trillion.

Regarding electricity subsidy, there’s an extra fund worth Rp7 trillion, so the total subsidy in 2017 reaches Rp51 trillion. The subsidy is also provided to MSMEs (Micro, Small and Medium Enterprises), food stalls, worship houses, orphanages, commuter train, and educational activities, David said as quoted from setkab.go.id, Thursday (20/7).

To make the subsidy distribution accurate, David said that people could report issues related to the electricity subsidy distribution to the village and subdistrict office. The reports will be forwarded to the district office and/or regency office, and it will reach the central command post (posko).

If the household that reports the issue is listed in the integrated data, the State-owned Electricity Company (PLN) will follow up the report immediately and give the subsidy tariff. If the household that reports the issue is not listed in the integrated data, the Integrated Data Management Work Team will verify the report, and check whether they’re categorized as underprivileged people, David said.

According to David, the reports say there are 72,217 accurate subsidy distribution, 39,768 completed verification process, and 32,449 households under verification process until July 19, 2018. "Five provinces with most reports are East Java with 17,259 reports, South Sulawesi with 11,304 reports, Central Java with 8,812 reports, West Sumatera with 7,578 reports, and Aceh with 7,057 reports," David said.

Meanwhile, the Senior Communication Strategy Specialist of the National Team for the Acceleration of Poverty Alleviation (TNP2K), Rajeshanagara Sutedja, said that many wealthy people receive a subsidy. "The data in 2016 shows that the number of 450-VA customers who receive subsidy reaches 22.8 million. Meanwhile, in 2017, the number reaches 23.1 million. The number of 900-VA customers in 2016 reaches 22.3 million, and it reaches 4.1 million in 2017. Therefore, 18.25 million households stopped receiving subsidy since January 1, 2017," Rajesh said.

Rajesh said that the accurate subsidy makes the inflation in June 2017 only reaches 0.06% according to the State Statistics Agency (BPS). "We hope that the non-cash social assistance and subsidy distribution would be integrated in the future," Rajesh stated. (mag)