Electricity Tariff Hike Leads to Drop in Purchasing Power: YLKI



Laila Afifa

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  • TEMPO.CO, JakartaThe Indonesian Consumers Foundation (YLKI) criticized the government’s plan to increase the electricity tariff for the non-subsidized groups with the electric capacity of 900 volt-ampere. YLKI secretary Agus Sujatno opined the hike would lead to the drop in people's purchasing power.

    “Because other than the planned hike of electricity rate, the premium of BPJS Kesehatan (health insurance) will be raised too,” said Agus when contacted on Wednesday, November 20.

    According to Agus, the increase which will be valid at the beginning of next year was in line with the increase in people’s burden. So he demanded that the government fully consider the plan to avert the adverse impact.

    Agus suggested that the government develop a clear indicator of the tariff hike as there must be classification on those 900VA household groups who are eligible to obtain the subsidy. The data must be transparent and open to the public so that poor households could propose assistance.

    The Director-General of Electricity at the Energy and Natural Resources Ministry, Rida Mulyana, announced that the electricity tariff hike for the non-subsidized 900 VA household groups will be valid per January 1, 2020. The increase was set at Rp29,000 per month.