DPR, govt agree to set electricity subsidy at Rp 45 trillion for 2012

Thursday, September 29 2011 - 11:59 AM WIB

The commission VII of the House of Representative (DPR) has agreed on the government proposal to set electricity subsidy at Rp 45 trillion in 2012, down from Rp65.6 trillion set for this year.

?The commission VII of DPR has approved the government proposed draft State budget for 2012 of electricity subsidy at Rp45 trillion,? said Teuku Riefky Harsya, the head of Commission VII of the House, which oversees energy sector.

Nevertheless, the commission is yet to agree on the government?s plan to raise electricity tariff by 10 percent starting April 2012 as proposed by the government.

He said the House commission demanded on the government to undertake thorough study on the consumers' purchasing power, inflation rate and impact on industry should the government raise the electricity tariff.

Darwin Zahedy Saleh, Energy and Mineral Resources Minister, said the government maintains its position to raise electricity tariff next year, aiming at easing burden on the State Budget. (roffie)

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