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The Indonesian Consumers Foundation (YLKI) criticized the government's plan to increase the electricity tariff that will be valid per January 1, 2020.
Minister Arifin Tasrif confirmed that the electricity tariff will increase starting next year, especially for non-subsidized electricity customers.
The government plans to increase electricity tariffs for 12 non-subsidized groups starting in 2020.
Ministry official Rida Mulyana ensured the electricity tariff would not rise until the end of 2019, albeit PLN had the rights to make an adjustment.
During his campaign, Sandiaga promised to women in Sukabumi, West Java that he will lower electricity tariff if elected.
Coordinating Minister for Maritime Affairs Luhut Binsar Pandjaitan said lowering electricity rates required a clear calculation.
Starting 2016, the government is set to revoke electricity subsidy for 20 million low capacity subscribers of state-owned electricity company PT. PLN
The rate cut is applied to R-2 customers with 3,500 to 5,500 VA power, R-3 customers (6,600 VA and up), and B-2 customers (6,600,200,000 VA).
The electricity subsidy restriction had hampered low income families (MBR) to acquire permit for new electricity installation.
The government's plan to erase electricity subsidy was aimed at improving subsidy targets and to encourage people to use electricity effectively.
As of January 1, 2015, the government has applied tariff adjustment for 10 category of electricity customers.
The state electricity company has proposed to delay the tariff hike for households in the categories of 1,300 and 2,200 watt.
The ESDM Ministry has issued a new regulation on electricity purchase procedure and the benchmark for electricity buying prices.
The tariff hike, supposedly taking effect on January 1, 2015, is canceled following a direct appeal from President Joko Widodo.
Several regions in Indonesia are experiencing electricity crisis.
The adjustments will be made based on three factors considered to affect the cost of electricity services.
The 99-percent electrification ratio can be achieved in five years.
PLN hopes that a fair price can be reached by November 1, 2014.
The government has proposed investment incentives of Rp19.97 trillion in the draft 2015 state budget to develop the electricity system.
Electricity shortage and periodic blackouts remain as delays continue to dog construction of new generators.