PLN to Apply New Electricity Tariffs in 2015

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  • Pertamina dan PLN Disarankan Go Public

    Pertamina dan PLN Disarankan Go Public

    TEMPO.CO, Jakarta - Bambang Dwiyanto, Senior Corporate Communication Manager of the state-owned electricity company PLN, said that the company will make adjustments to electricity tariffs for 12 categories of non-subsidized customers. The new tariffs are set to be applied on January 1, 2015.

    Bambang explained that adjustments mean that the tariffs may be increased or reduced, or even "remains the same."

    The adjustments will be made based on three factors considered to affect the cost of electricity services: Rupiahs exchange rate against US Dollar, Indonesian crude price, and inflation rate.

    Therefore, as Bambang explained, PLN will make adjustments on a monthly basis. He added that calculations for the adjustments are made based on data from Bank Indonesia. "There was a tariff reduction previously on October," he said.

    The adjustment is based on Ministry of Energy and Mineral Resources Decree No. 31/2014 on Electricity Tariffs. The Ministry said that the regulation was made to maintain PLN's performance on providing electricity to the people, improving service quality, and to ensure proper allocation of electricity subsidy.