Chairul Tanjung: Fuel Subsidy for Infrastructure Is Nonsense
9 September 2014 14:24 WIB
TEMPO.CO, Jakarta - Coordinating Economy Minister Chairul Tanjung said fuel subsidy will not be revoked as long as Susilo Bambang Yudhoyono's government is still running.
Chairul also said "nonsense" to those who say that fuel subsidy can be used for infrastructure development.
According to Chairul, infrastructure development does not need to be allocated in the State Budget because it can be funded by private parties through Public Private Partnership (PPP). He went on to say that the State Budget should be used to help the poor. "For example, construction of cheap houses or irrigation," the Minister said.
Meanwhile, major infrastructure projects such as toll roads construction or airports should be funded by private parties. Chairul said that it is forbidden to fund toll road or airport projects using the State Budget because such infrastructures are often used by the middle-upper class individuals who are financially capable.
Therefore, Chairul asserted that the SBY government will not remove fuel subsidy and increase fuel price at least until October 20, when his term ends. "Fuel price will not increase," said Chairul.
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