Electricity rate decreases on lower oil prices

Public utility PT Perusahaan Lisrik Negara (PLN) (Persero) announced Tuesday a cut in electricity rate for business and industrial customers by between Rp 26 and Rp 42 per kWh, citing the lower oil prices as the reason.

?The price cut is mainly ascribed to the drop in oil prices from US$35.48 per barrel in December 2015 to $27.49 in January 2016,? Head of Marketing Division Benny Marbun said.

There are other factors that allow PLN to cut the electricity rate: Inflation fell from 0.96% in December 2015 to 0.51% in January 2016, while rupiah was relatively stable against the US dollar, at Rp 13.855 in December 2015) compared to Rp 13.889 in January 2016.

There are 12 types of costumers which experience price decline this month.

Rate for low voltage group of customers now stands at Rp 1355/kWh, as against Rp 1392/kWh in February. The group includes

1. Small house R1/1300 VA
2. Small house R1/2200 VA
3. Medium house R2/3500-5500 VA
4. Big house R3/6600 VA and above
5. Medium business B2/6600 VA-200 kVA
6. Medium government P1/6600 VA-200 kVA
7. Street lights P3

Rate for medium voltage group of costumers now stands at Rp 1042/kWh as against Rp 1071/kWh in February. Types of customers included in this group are

8. Big business B3/over 200 kVA
9. Medium industry I3/over 200 kVA
10. Big government P2/ over 200 kVA

Rate for high voltage group of customers now stands at Rp 933 per kWh as against Rp 959/kWh in February. Type of costumer included in this category is:

11. Large-scale industry I4/over 30 MVA.

Rate for special group of customers (including premium service) now stands at Rp 1532 per kWh from Rp 1573 per kWh in February. Type of costume included in this group is:

12. Special service L di TR/TM/TT

Editing by Johannes Simbolon