Thursday, 17 October 2019

Textile Industry Asks Electricity Rate Reviewed

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  • Tempo/Panca Syurkani

    Tempo/Panca Syurkani

    TEMPO.CO, Jakarta - The Indonesian Textile Association (API) Chief, Ade Sudrajat, said that the second stage of basic electricity tariff hike starting July 1 has placed more burden on industry players. "The total increase until this November reaches 38 percent for I-3 and 60 percent for I-4 category," Ade told Tempo yesterday.

    Ade compared Indonesia's condition with Malaysia's whose industrial electricity rate was lower. "They are not even energy producer."

    The high electricity tariff is done only as an attempt by the government to build its image, said Ade. "They didn’t increase electricity tariff of R-1 and R-2 for home customers. The government wouldn’t dare doing that."

    If electricity rate for home customers is only increased by Rp50, it would not place more burden, but reduce industrial burden instead. "Let’s just call it burden sharing," said Ade.

    Starting July 1, the government has officially increased the basic electricity rates for industries.

    INDRI MAULIDAR