Ada Pertanyaan? Hubungi Kami 
2026 Hak Cipta Milik Hukumonline.com
Produk Pilihan
Ada Pertanyaan? Hubungi Kami Kartini L Makmur, Yanuar Pribadhie
The new electricity tariffs for 4 types of non-subsidized consumers will start from 1 May 2014. The increased prices are due to the current situation of high inflation, the rupiah exchange rate, and global crude oil prices. The Government argues that these factors are beyond its control. As a consequence, electricity tariffs will be gradually increased in the following months after the new tariffs are implemented.
The four groups subject to the price increases are major households (R3) that consume 6,600 Volt Ampere (VA) or above, mid-scale businesses (B2) that consume 6,600 VA-200 kilo VA (kVA), major business companies (B3) subscribing above 200 kVA, and government offices (P1) that subscribe for 6,600 VA-200 kVA.
The tariff adjustments for category I3 companies that are listed on the stock market will be gradually implemented. According to Jero Wacik, the Minister of Energy and Mineral Resources, a price increase of 8.6% will be implemented on a tri-annual basis starting from 1 May 2014. As a consequence, by 2015 the subsidies will be wholly lifted.
“We are aware that the sudden lifting of electricity subsidies will significantly disrupt industries, forcing them out of business. Therefore, gradual revocation is the best solution,” said Jero.
Jero explained that the new tariff is taken based on a study conducted by the Institute for Economic and Social Research (LPEM) at Universitas Indonesia. Jero further added that after considering micro and macro aspects, a hike in the electricity tariff of between 20-25 per cent could be executed immediately. Such a price increase could possibly save up to IDR 1.42 trillion in subsidy allocations.
The gradual-increase policy is also a response to previous concerns from businesses. Franky Sibarani, the Head of the Indonesian Employers Association (Apindo), has previously stated that a sudden increase in electricity prices will cause mass retrenchments. Even without the increase, industry is already being slammed by the current depreciation in the Rupiah, the increase to regional minimum wages, and the LPG rate.
(hot/kc)
The new electricity tariffs for 4 types of non-subsidized consumers will start from 1 May 2014. The increased prices are due to the current situation of high inflation, the rupiah exchange rate, and global crude oil prices. The Government argues that these factors are beyond its control. As a consequence, electricity tariffs will be gradually increased in the following months after the new tariffs are implemented.
The four groups subject to the price increases are major households (R3) that consume 6,600 Volt Ampere (VA) or above, mid-scale businesses (B2) that consume 6,600 VA-200 kilo VA (kVA), major business companies (B3) subscribing above 200 kVA, and government offices (P1) that subscribe for 6,600 VA-200 kVA.
The tariff adjustments for category I3 companies that are listed on the stock market will be gradually implemented. According to Jero Wacik, the Minister of Energy and Mineral Resources, a price increase of 8.6% will be implemented on a tri-annual basis starting from 1 May 2014. As a consequence, by 2015 the subsidies will be wholly lifted.
“We are aware that the sudden lifting of electricity subsidies will significantly disrupt industries, forcing them out of business. Therefore, gradual revocation is the best solution,” said Jero.
Jero explained that the new tariff is taken based on a study conducted by the Institute for Economic and Social Research (LPEM) at Universitas Indonesia. Jero further added that after considering micro and macro aspects, a hike in the electricity tariff of between 20-25 per cent could be executed immediately. Such a price increase could possibly save up to IDR 1.42 trillion in subsidy allocations.
The gradual-increase policy is also a response to previous concerns from businesses. Franky Sibarani, the Head of the Indonesian Employers Association (Apindo), has previously stated that a sudden increase in electricity prices will cause mass retrenchments. Even without the increase, industry is already being slammed by the current depreciation in the Rupiah, the increase to regional minimum wages, and the LPG rate.
(hot/kc)
Kartini L Makmur, Yanuar Pribadhie
The new electricity tariffs for 4 types of non-subsidized consumers will start from 1 May 2014. The increased prices are due to the current situation of high inflation, the rupiah exchange rate, and global crude oil prices. The Government argues that these factors are beyond its control. As a consequence, electricity tariffs will be gradually increased in the following months after the new tariffs are implemented.
The four groups subject to the price increases are major households (R3) that consume 6,600 Volt Ampere (VA) or above, mid-scale businesses (B2) that consume 6,600 VA-200 kilo VA (kVA), major business companies (B3) subscribing above 200 kVA, and government offices (P1) that subscribe for 6,600 VA-200 kVA.
The tariff adjustments for category I3 companies that are listed on the stock market will be gradually implemented. According to Jero Wacik, the Minister of Energy and Mineral Resources, a price increase of 8.6% will be implemented on a tri-annual basis starting from 1 May 2014. As a consequence, by 2015 the subsidies will be wholly lifted.
“We are aware that the sudden lifting of electricity subsidies will significantly disrupt industries, forcing them out of business. Therefore, gradual revocation is the best solution,” said Jero.
Jero explained that the new tariff is taken based on a study conducted by the Institute for Economic and Social Research (LPEM) at Universitas Indonesia. Jero further added that after considering micro and macro aspects, a hike in the electricity tariff of between 20-25 per cent could be executed immediately. Such a price increase could possibly save up to IDR 1.42 trillion in subsidy allocations.
The gradual-increase policy is also a response to previous concerns from businesses. Franky Sibarani, the Head of the Indonesian Employers Association (Apindo), has previously stated that a sudden increase in electricity prices will cause mass retrenchments. Even without the increase, industry is already being slammed by the current depreciation in the Rupiah, the increase to regional minimum wages, and the LPG rate.
(hot/kc)
The new electricity tariffs for 4 types of non-subsidized consumers will start from 1 May 2014. The increased prices are due to the current situation of high inflation, the rupiah exchange rate, and global crude oil prices. The Government argues that these factors are beyond its control. As a consequence, electricity tariffs will be gradually increased in the following months after the new tariffs are implemented.
The four groups subject to the price increases are major households (R3) that consume 6,600 Volt Ampere (VA) or above, mid-scale businesses (B2) that consume 6,600 VA-200 kilo VA (kVA), major business companies (B3) subscribing above 200 kVA, and government offices (P1) that subscribe for 6,600 VA-200 kVA.
The tariff adjustments for category I3 companies that are listed on the stock market will be gradually implemented. According to Jero Wacik, the Minister of Energy and Mineral Resources, a price increase of 8.6% will be implemented on a tri-annual basis starting from 1 May 2014. As a consequence, by 2015 the subsidies will be wholly lifted.
“We are aware that the sudden lifting of electricity subsidies will significantly disrupt industries, forcing them out of business. Therefore, gradual revocation is the best solution,” said Jero.
Jero explained that the new tariff is taken based on a study conducted by the Institute for Economic and Social Research (LPEM) at Universitas Indonesia. Jero further added that after considering micro and macro aspects, a hike in the electricity tariff of between 20-25 per cent could be executed immediately. Such a price increase could possibly save up to IDR 1.42 trillion in subsidy allocations.
The gradual-increase policy is also a response to previous concerns from businesses. Franky Sibarani, the Head of the Indonesian Employers Association (Apindo), has previously stated that a sudden increase in electricity prices will cause mass retrenchments. Even without the increase, industry is already being slammed by the current depreciation in the Rupiah, the increase to regional minimum wages, and the LPG rate.
(hot/kc)