Ada Pertanyaan? Hubungi Kami 
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Ada Pertanyaan? Hubungi Kami ANT, M Agus Yozami, Robert Sidauruk
The government, represented by Jero Wacik, Minister of Energy and Mineral Resources, has said that the recent policy on limiting the sale of subsidized fuel is not to decrease the fuel subsidy itself but merely to control it to meet the quota determined under the 2014 State Budget Amendment (RAPBN 2014).“We currently have limited stocks of subsidized diesel and petrol fuel. This policy is merely a controlling measures and the government won’t cut the fuel subsidies,” asserted Mr. Wacik in Jakarta on Tuesday.
Mr. Wacik further explained that such measures are necessary, as the budget allocation for subsidized fuel under RAPBN 2014 was reduced by 2 million kiloliters from 48 to 46 million kiloliters. Exasperating the situation, the government recorded an increase in fuel consumption during the first semester of 2014, which reached 22.91 million kiloliters from the previously predicted 22.81 kiloliter.
“If the controlling measures are not taken, the stock of subsidized diesel fuel will only be enough until November 2014, and 19 December for subsidized petrol premium,” informed Mr. Wacik.
However, the Labor Institute of Indonesia argues that the policy of limiting the sale of subsidized fuels is a misguided policy and may lead to social vulnerability. The limitation on subsidized fuels sales without prior notice could negatively impact small level transportation businesses and create instability in commodity prices.
Andy Sinaga, Economic and Politic Analyst at the same institution believes that the policy shows an irresponsible attitude of the part of the government following its support for the Low-Cost Green Car, which has resulted in an increases in both the use of private vehicles and fuel consumption.
“The policy was issued due to a concern about the overuse of subsidized fuel by the public that has gone beyond the determined quota,” said Mr. Sinaga.
To better deal with the problem, the Labor Institute of Indonesia has suggested the government review the current policy and commence permanently raising the price of subsidized fuel.
Alternatively, the government may also continue with the policy, but must implement it under clear criteria, such as details related to vehicle types, public transport, and vehicle engine cylinder volume.
(hot/kc)
ANT, M Agus Yozami, Robert Sidauruk
The government, represented by Jero Wacik, Minister of Energy and Mineral Resources, has said that the recent policy on limiting the sale of subsidized fuel is not to decrease the fuel subsidy itself but merely to control it to meet the quota determined under the 2014 State Budget Amendment (RAPBN 2014).“We currently have limited stocks of subsidized diesel and petrol fuel. This policy is merely a controlling measures and the government won’t cut the fuel subsidies,” asserted Mr. Wacik in Jakarta on Tuesday.
Mr. Wacik further explained that such measures are necessary, as the budget allocation for subsidized fuel under RAPBN 2014 was reduced by 2 million kiloliters from 48 to 46 million kiloliters. Exasperating the situation, the government recorded an increase in fuel consumption during the first semester of 2014, which reached 22.91 million kiloliters from the previously predicted 22.81 kiloliter.
“If the controlling measures are not taken, the stock of subsidized diesel fuel will only be enough until November 2014, and 19 December for subsidized petrol premium,” informed Mr. Wacik.
However, the Labor Institute of Indonesia argues that the policy of limiting the sale of subsidized fuels is a misguided policy and may lead to social vulnerability. The limitation on subsidized fuels sales without prior notice could negatively impact small level transportation businesses and create instability in commodity prices.
Andy Sinaga, Economic and Politic Analyst at the same institution believes that the policy shows an irresponsible attitude of the part of the government following its support for the Low-Cost Green Car, which has resulted in an increases in both the use of private vehicles and fuel consumption.
“The policy was issued due to a concern about the overuse of subsidized fuel by the public that has gone beyond the determined quota,” said Mr. Sinaga.
To better deal with the problem, the Labor Institute of Indonesia has suggested the government review the current policy and commence permanently raising the price of subsidized fuel.
Alternatively, the government may also continue with the policy, but must implement it under clear criteria, such as details related to vehicle types, public transport, and vehicle engine cylinder volume.
(hot/kc)